Subhkam Ventures-HT Media and Enam Securities-backed Aqua Logistics is looking to raise Rs 150 crore through its public issue.
Although the company is yet to give details of valuation or the equity dilution proposed in the IPO, VCCircle estimates show the firm could be looking to dilute as much 33% stake generating a valuation of around Rs 450 crore or a little less than $100 million.
It is looking to invest the money in purchasing equipment, working capital requirements besides other expansion activities including acquisitions.
Our calculations show the company could be looking at a price band of Rs 215-225/share for the issue. Enam had invested around Rs 14 crore days before the stock market crash in January 2008 and is estimated to have average cost of acquisition of shares at Rs 95.
Media house HT Media (likely through ad-for-equity) is said to have invested Rs 5 crore in the company with average cost of ownership of around Rs 215 in August 2008 with a follow-on allotment few months ago.
Subhkam Ventures, a domestic private equity firm founded by Rakesh Kathotia, which also owns broking entities Subhkam Stocks & Shares Ltd and Subhkam Securities, had invested around Rs 11 crore in August 2009 at Rs 225/share.
Aqua, which started as a freight forwarding company a decade back, is a third party logistics service provider. The company has grown its revenue from Rs 6 crore in 2004-05 to Rs 214 crore for the year ended March’09 with net profit of Rs 9.8 crore.
The company is co-promoted by Rajesh Uchil, MS Sayad, Harish Uchil and Gopalkrishna Uchil who have a background in logistics business through other entities including partnership firms. As of now, the promoters together own 65% in the company which is likely to drop down to around 44% post issue.
Enam, Subhkam Ventures and HT Media hold around 11%, 3.7% and 1% respectively in the firm which would come down proportionately to around 7.5%, 2.5% and 0.7% post issue. Another investment firm Carwin Mercantiles had invested Rs 10 crore in November 2007.