Rapid Fleet Management Services Limited, a logistics and transportation company based in Chennai, is all set to launch its Initial Public Offering (IPO) on March 21, 2025. The offering will remain open for subscription until March 25, 2025. Here’s everything you need to know about the IPO, including its pricing, financial performance, and more.
What Is the IPO Price and How Can You Invest?
The company has announced a price band for the IPO between ₹183 and ₹192 per share. Each share has a face value of ₹10, and investors will need to apply in multiples of 600 shares. This means the minimum investment is ₹1,15,200. The IPO is a fresh issue, with the company raising approximately ₹43.87 crore by issuing 22,84,800 shares.
Company Overview: A Glimpse into Rapid Fleet Management Services
Founded in 2006, Rapid Fleet specializes in logistics and road transportation services across various industries, including FMCG, electronics, and renewable energy. The company currently operates a fleet of 174 vehicles, with plans to expand as demand for its services grows. Rapid Fleet also developed a mobile app to streamline operations, making it easier for businesses to manage their logistics needs.
Strong Financial Performance Drives IPO
Rapid Fleet has shown consistent financial growth over the past few years. In FY 2023, the company reported a revenue of ₹105.52 crore and a net profit of ₹4.71 crore. The figures for FY 2024 are even better, with a revenue of ₹115.59 crore and a net profit of ₹8.07 crore. In the first half of FY 2025, the company earned ₹85.03 crore in revenue, with a net profit of ₹7.01 crore. This growth shows the company’s strong market position and the potential for further expansion.
How Will the IPO Funds Be Used?
The funds raised from the IPO will be used for several key purposes, including the purchase of additional vehicles, meeting working capital requirements, and general corporate expenses. This will help Rapid Fleet enhance its fleet capacity and improve operational efficiency.
Expected Listing Date and What Investors Should Know
After the IPO closes on March 25, 2025, the allotment of shares is expected to be finalized by March 26. Refunds will be issued by March 27, and shares will be credited to demat accounts on the same day. The company is expected to be listed on the NSE SME platform by March 28, 2025.
What’s the Grey Market Premium (GMP) Looking Like?
Currently, there’s no information available on the Grey Market Premium (GMP) for Rapid Fleet’s IPO. GMP typically starts circulating closer to the IPO date, giving investors an indication of market sentiment.
IPO Review: Is Rapid Fleet a Good Investment?
With steady revenue growth and strong financials, Rapid Fleet presents itself as an attractive option for investors interested in the logistics and transportation sector. However, like any investment, it’s essential to do thorough research or consult a financial advisor before jumping in.
