(i) Incorporated in 2008, our Company, “Accuracy Shipping Limited” is a third party logistics solutions provider. We offer customized and end-to-end logistics solutions and services including transportation and distribution, freightforwarding, clearing and forwarding service, custom house clearance, warehousing and value added services to our clients. We are also engaged in handling of project cargo, which is a specialized activity requiring detailed planning and technical expertise. The comprehensive project handling service includes designing and execution of customized solutions tailored to meet specific customer requirements for the transport of high value specialized equipment from one location to another using multiple modes of transport.
(ii) We operate our business through a PAN India network consisting of a registered office at Gandhidham, 5 branch offices and over 1,300 clients as at January 31, 2018. In addition to using hired fleets, we also have a fleet of more than 150 vehicles to meet our inland transportation requirements. Our strength of fleets is one of our biggest advantage for our business operations. We also have a network of various business partners providing us vehicles, warehouses and other assets and services for our business. At present we are offering our services through our business partners in over more than 35 countries mainly from South Africa, Egypt,Turkey, Italy, Colombo, etc.
(iii) In goods transportation business, we serve a number of customers in the FMCG industry as well as in general commodities such as marble & granites, fabric, paper, yarn, tiles, pipes, sanitary products, agricultural products, etc.
are:
1. Part Payment/Payment of Certain Secured Borrowing Availed by our Company.
2. Purchase of Good Transportation Vehicle.
3. Funding of Working Capital Requirement of the Company.
4. General Corporate Purposes.
Promoters of Accuracy Shipping Limited Company are:
Mr. Vinay Tripathi
Mrs. Rama Tripathi
Capital Structure:
(i) Authorized Share Capital
2,00,00,000 shares at FV@10)
20 Cr
(ii) Issued, Subscribed,& Paid-up Share Capital Before Issue
(1,07,98,400 Shares at FV@10)
10.798 Cr
(iii) Present Issue
( 42,57,600 Shares at FV@10)
4.247 Cr
(iv) Reservation for Market Maker ( 2,17,600 Shares at FV@10)
21.7 Lacs
(v) Net Issue to Public
(42,57,600 -2,17,600)= 40,40,000 Shares)
4.040 Cr
(vi) QIB & HNI quota[*]
(vii) Retail Quota -[*]
(viii) Paid Up Share Capital after the issue
15.045 Cr
NOTE:The Company has issued shares by way of Private Placement (Pre IPO Placement) of 6,78,400 Equity Shares of face value of Rs. 10/- fully paid up at Issue price of Rs 84/- on May 28, 2018 as per the details given below:
Name of the allottees
No. of shares
1. M/s Pantomath Fund Managers LLP
3,56,800
2. Pantomath Sabrimala AIF Pantomath Sabrimala SME Growth Fund Series I
1,79,200
3. Vantage equity fund
1,20,000
4. Shanker sadhuram jagwani
5,605
5. Ravi shanker jagwani
6000
6. Hiren vijay sukhwani
2400
7. Vishal nayankumar modhia
1200
8. Amardeep thacker
1600
9. Anand vaghela
595
10. Anand sashikant barmeda
1600
11. Paresh ramjibhai pithadiya
3400
Average cost of Acquisition of promoters
Sr.no
Name of the Promoter
No. of shares
Average cost of acquisition
1
Vinay Tripathi
55,27,000
10
2
Rama Tripathi
37,92,000
6.41
Financials of Accuracy Shipping Limited IPO:
1. Assets and Liabilities Key Parameters
Year
Asset(Lacs)
Liabilities(Lacs)
Net Worth(Lacs)
Book Value
D/E
RONW
Receiveable days
FY13
520.31
385.75
134.56
14
2.9
20%
24
FY14
1,299.16
1103
196.16
21
5.6
31%
34
FY15
2,783.54
2556.12
227.42
24
11.2
14%
29
FY16
4,394.03
3855.35
538.68
18
7.2
20%
34
FY17
5,825.34
4490.73
1,334.61
15
3.4
15%
46
9MFY18
8,836.72
6708.25
2,128.47
21
3.2
32%
37
Post Issue
4145.77
28
1.6
2. Profit n Loss Key Parameters
PAT(lacs)
Revenue(lacs)
EBITDA Margins
26.83
3,064.89
2.70%
61.61
9,738.73
1.69%
31.6
16,165.61
2.04%
106.86
17,078.99
4.63%
195.93
20,129.20
5.58%
681.87
26,653.12
7%
3. Cash Flow Statement(all figures in Lacs)
Particulars
FY17
FY16
FY15
FY14
FY13
(i) Net Cash Generated from Operation
173.31
746.44
580.62
-115.28
136.88
(ii) Net Cash Generated from Investment
-417.91
-1,805.28
-871.88
-139.19
-178.03
(iii) Net Cash Generated from Financing Activity
289.13
1,061.65
295.04
260.81
48.13
(iv) Total[ (i)+(ii)+(iii) ]
44.53
2.81
3.78
6.34
6.98
Key Notes:
1. The Revenue is growing at CAGR of 60.10% from FY13 to FY17.
2. The PAT is growing at CAGR of 64% from FY13 to FY17.
3. The EPS post issue would be 6.03.
4. P/E(post issue)= 14( reasonably priced)
5. P/B(post issue)= 3
6. Current Ratio(ideally>1.5)= 1.35( 9MFY18)
7. Mcap/Sales(ideally <2)= .47( the company is available at cheap discount).
8. The Company EBITDA Margins has improved significantly in last 5 years which is big positive for the company.
Comparison With Peers:
Name of the Company
FV
Mcap(cr)
EPS
P/E
RONW
Mcap/sales
Accuracy Shipping Limited
10
126
6.03
14
32.00%
0.47
Tiger Logistics India Limited
10
197
10.77
17.34
21.00%
0.6
Allcargo Logistics Limited
2
2797
-2.21
NA
NA
8.5
Sical Logistics Limited
10
1080
5.15
38.61
8.97%
1
Recommendation on Accuracy Shipping Limited IPO:
Review and Recommendation of
Accuracy Shipping Limited IPO
from our side is:
Rating: 6/10.
1-5: Fair
5-7: Good
7-10: Excellent
The company has a list of marquee clients such as Kajaria, Provogue, Symphony, Johnson, Pidilite, Borosil, R bK Marbles etc.
Apply in this IPO. The Company is available at reasonable valuation.
The company has issued shares to Pantomath, Pantomath AIF fund, and Vantage Funds in pre ipo placement at price of 84.