The PDP Shipping & Projects IPO, a Fixed Price Issue of ₹ 12.65 Crores, consists of 9.37 lakh fresh equity shares at a price of ₹ 135 per share. The IPO subscription period opened on March 10, 2025, and closed on March 12, 2025. The share allotment is set for March 13, 2025, with the BSE SME listing expected on March 18, 2025.

PDP Shipping IPO Subscription and Market Performance

As of 07:00 PM on March 12, 2025, PDP Shipping & Projects IPO recorded a subscription of 1.01 times, indicating demand in the market. However, the Grey Market Premium (GMP) is ₹ 0, suggesting that no premium is being offered by informal traders. This reflects a neutral market sentiment, with no strong expectations of listing gains.

Objectives of the IPO

The company intends to use the IPO proceeds for:

1. ₹ 1,000 Lakhs for long-term working capital requirements.
2. ₹ 79.95 Lakhs for general corporate purposes.

Business Overview of PDP Shipping & Projects

PDP Shipping & Projects Limited is a global freight forwarding company providing customized logistics solutions. The company specializes in supply chain management and integrated logistics services tailored to client needs.

Founded by Animesh Kumar, a first-generation entrepreneur with over 20 years of industry experience, the company has established itself as a reliable logistics partner for businesses worldwide.

Financial Performance & Key Ratios

For the fiscal year ending November 30, 2024, PDP Shipping & Projects reported:

• Revenue from operations: ₹ 1,377.63 Lakhs
• EBITDA: ₹ 249.05 Lakhs
• Profit After Tax (PAT): ₹ 157.04 Lakhs

The pre-issue EPS is ₹ 11.36, while the post-issue EPS is ₹ 7.78. The pre-issue P/E ratio is 11.88x, and the post-issue P/E ratio is 17.35x, compared to the industry P/E of 52x. This suggests that the IPO is fairly priced relative to industry standards.

Additionally, the company's Return on Capital Employed (ROCE) stands at 50.04%, while its Return on Equity (ROE) and Return on Net Worth (RoNW) are both at 39.62%, indicating strong financial health.

IPO Review

Despite a decent financial track record, the lack of Grey Market Premium (GMP) suggests that the IPO may not provide short-term listing gains. While the valuation is fair, market conditions and demand for the stock remain uncertain.

Investment Recommendation: Given the zero GMP and moderate subscription, analysts recommend avoiding the PDP Shipping & Projects IPO for short-term listing gains. However, long-term investors seeking exposure to the logistics sector may consider it based on the company's steady financial performance.

The Upcoming IPOs in this week and coming weeks are Paradeep Parivahan, Divine Hira Jewellers.

The Current active IPO are Super Iron Foundry, PDP Shipping & Projects.

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