Committed Cargo Care's initial public offering (IPO) that closed on Tuesday was oversubscribed by 75.27 times, attracting bids for 24.38 crore shares against the IPO size of 32.44 lakh shares. The company, which sought to raise ₹24.95 crore via the issue of 32.40 lakh shares at ₹77 each, saw a strong response from retail investors and high-net-worth individuals who bought 69 times and 89.6 times their respective quotas.
These groups equally shared a 50% reservation in the net issue of shares, with an additional 1,64,800 shares reserved for the market maker. Despite a downturn in revenue to ₹122.2 crore (INR100 crore = approx. USD12 million), Committed Cargo Care aims to utilize the net fresh issue proceeds of ₹21.41 crore for working capital requirements (₹15.96 crore) and general corporate purposes (₹5.45 crore).
The firm reported a net profit of ₹5.33 crore for the fiscal year 2023, marking an increase from ₹3.09 crore in the previous year. Ahead of the allotment finalization set for October 13, equity share credit scheduled for October 17, and NSE Emerge debut on October 18, shares were trading at a premium of 15% in the grey market.
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