The PDP Shipping & Projects Limited IPO is a Fixed Price Issue amounting to ₹ 12.65 Crores, comprising a Fresh Issue of 9.37 Lakh Shares. The subscription period for the IPO started on March 10, 2025, and will close on March 12, 2025. Allotments are expected to be finalized on March 13, 2025, with shares scheduled to list on the BSE SME on or about March 18, 2025.

PDP Shipping & Projects IPO Pricing and Market Capitalization

The issue price for the PDP Shipping & Projects IPO is set at ₹ 135 per equity share. At this price, the market capitalization of the company will be ₹ 40.15 Crores. The lot size for the IPO is 1,000 shares, meaning that retail investors need to invest a minimum of ₹ 1,35,000. For High-Net-Worth Individuals (HNIs), the minimum investment is for 2 lots (2,000 shares), totaling ₹ 2,70,000.

IPO Subscription Status

As of 11:00 AM on March 12, 2025, the PDP Shipping & Projects IPO has been subscribed 0.62 times on its final day of the subscription period. Real-time updates on the subscription status are available on the BSE website.

Grey Market Premium (GMP)

Currently, the Grey Market Premium (GMP) for the PDP Shipping & Projects IPO is ₹ 0, indicating no expected price movement in the grey market before listing. A GMP of ₹ 0 suggests that trading in the grey market is negligible and does not provide useful insights into the future listing price of the shares.

Objectives of the IPO

The net proceeds from the IPO will be used for the following objectives:

1. ₹ 1,000.00 Lakhs for partially funding long-term working capital requirements.
2. ₹ 79.95 Lakhs for general corporate purposes.

PDP Shipping & Projects: Company Overview

PDP Shipping & Projects Limited is an international freight forwarding company, providing tailored global transportation solutions to meet the unique challenges of integrated logistics and supply chain management. The company specializes in shipping, customs brokerage, and international supply chain solutions.

The founder and promoter of the company, Mr. Animesh Kumar, is a first-generation entrepreneur with over 20 years of experience in the shipping and logistics industry. Under his leadership, the company has successfully catered to a diverse range of clients globally.

Financial Performance

The financial performance of PDP Shipping & Projects shows steady growth:

• Revenues from operations for the period ending November 30, 2024, stood at ₹ 1,377.63 Lakh, compared to ₹ 2,057.52 Lakh in 2023, ₹ 2,260.49 Lakh in 2022, and ₹ 2,872.74 Lakh in 2021.
• EBITDA for the period ending November 30, 2024, was ₹ 249.05 Lakh, with previous years showing similar profitability.
• Profit after Tax (PAT) for the period ending November 30, 2024, stood at ₹ 157.04 Lakh, reflecting stable profitability over the years.

Valuation and IPO Review

The pre-issue EPS for FY24 stands at ₹ 11.36, and the post-issue EPS is expected to be ₹ 7.78. The pre-issue P/E ratio is 11.88x, and post-issue P/E ratio will be 17.35x, which is significantly lower than the industry P/E ratio of 52x. The Return on Capital Employed (ROCE) for FY24 is 50.04%, and the Return on Equity (ROE) is 39.62%, both indicating high profitability and strong financial performance.

Despite these positive metrics, the Grey Market Premium and P/E ratio suggest that the IPO is fairly priced. The absence of a premium in the grey market may indicate a lack of significant investor interest. Therefore, based on the financial performance and valuation, we recommend investors to avoid the PDP Shipping & Projects IPO if looking for listing gains.

Conclusion

PDP Shipping & Projects Limited is a key player in the shipping and logistics industry, offering tailored solutions to meet the growing demands of global trade. However, with moderate financial growth and minimal grey market interest, the IPO appears to be priced fairly but may not offer substantial short-term gains. Long-term investors should consider the company’s growth potential in the logistics industry, but given the current market conditions and valuation, we suggest exercising caution before investing.

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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