Orissa Bengal Carrier Limited IPO

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Orissa Bengal Carrier Limited is a Raipur, Chhattisgarh based logistics company engaged in goods transportation business. The company is one of the IBA approved transporter having ISO 9001:2015 certification for the provision of Quality Management System Service. It serves a broad range of industries, including the steel, coal, aluminium, cement, petrochemicals, paper, marble, tiles, infra, textile, FMCG. The various types of services provided by the company include Full Truck Load Transport Services, Parcel and Part Truck Load Services/less than Truck Load (LTL).The company has a network 45 branch offices spread across the various regions of the country, which serves as strategic hubs for its operations. It has a diversified customer base spreading to over 200 customers as on September 30, 2017. The clientele includes public sector undertakings, corporate and other private players from steel, aluminium, cement, petrochemicals, power, chemicals, marble, tiles, infra, textile, FMCG to name a few.

Orissa Bengal Carrier Limited IPO Stock Quote & Charts

42.00

+7.01%

  • Open: 42.00
  • High - Low: 42.00 - 42.00
  • Previous Close: 39.25
  • Total Traded Volume: 4000
  • Updated On: 16-Oct-2018

Objects of the Orissa Bengal Carrier Limited IPO:

1. Funding working capital requirements 2. Issue Expenses

Orissa Bengal Carrier Limited IPO Details:

Open Date: Mar 22 2018
Close Date: Mar 26 2018
Total Shares: 55,64,000
Face Value: ₹ 10 Per Equity Share
Issue Type: Fixed Issue
Issue Size: 16.69 Cr.
Lot Size: 4000 Shares
Issue Price: ₹ 30 Per Equity Share
Listing At: BSE SME
Listing Date: Apr 05 2018

Promoters And Management:

(i) Ratan Kumar Agrawal, aged 61 years, is Managing Director of our Company. He is one of the promoters of our company. He has been Director of our Company since incorporation and has been designated as Managing Director w.e.f December 1, 2017. He currently plays a crucial role in the Administration & Fleet Management of our Company and operates from our Head office. He has experience of around 24 years in transport and logistics industry and did his matriculation from Haryana Board in the year 1972. He has been Director of our Company since incorporation. (ii) Shakuntala Devi Agrawal aged 57 years is the Non-Executive Director of our Company. She is one of the promoters of our company and is under matriculate. She has been Director of our Company since incorporation. (iii) Manoj Agrawal, aged 39 years, is the Promoter and Executive Director of our Company. He has an experience of more than 20 years in transport and logistics industry and is under matriculate. He has been instrumental in the growth and strategy of our business. He currently looks after the operation of Western Region of India from our office at Nagpur. He is an expert in human resources and human relations. He has been on the board since April 7, 1997.

Capital Structure:

Authorized Share Capital (24,000,000 shares at FV@10) 24 cr
Issued, Subscribed,& Paid-up Share Capital Before Issue (15,518,790 Shares at FV@10) 15.518 cr
Present Issue (55,64,000 Shares at FV@10) 5.564 cr
Reservation for Market Maker 2,84,000 Shares at FV@10) 28.40 lakh
Net Issue to Public 55,64,000-2,84,000=  52,80,000 Shares) 5.28 cr
Retail Quota(<2 Lkah)[26,40,000  Shares] 50%
HNI & QIB Quota(>2 Lakh)[26,40,000 Shares] 50%
Paid Up Capital after the issue 21.082 cr

Financials of Orissa Bengal Carrier Limited IPO:

 1. Balance Sheet Snippet[ Calculation for FY 16-17]
       (i) Shareholders’ Fund[Equity] Value 2811.06 lakh
      (ii) Asset 7624.53 lakh
      (iii) Liability 4813.47 lakh
      (iv) Debt/Equity 1.71( average)
      (v)  Net Worth(Asset- Liability) 2811.06 lakh
     (vi)  RONW(PAT/Net Worth) 14%
     (vii) P/B 2.25
2. Profit n Loss Snippet (i) Revenue of last 4 years is growing at CAGR of 12%. (ii) PAT of the company in (lakhs): (a) FY13- (16.40), (b) FY14-.20 (c )FY15-91.92 (d) FY16- 182.41 (e ) FY17-395.34. The PAT has almost doubled from FY-16 to FY-17 on flat revenue which raises concern. (iii)Margins(PBT/Reveune): .65 to 1.2% in last 4 years. The company has low margin business. (iv) Annualized EPS(post issue)= 3.33 (v)  Annualized P/E(post issue)=9(reasonably priced) at the cutoff price of 30.
3. Cash Flow Statement The company was generating positive cash flow continuously in the preceding years till 2016 but got set back in the year 2017 which does not augur well for future growth.

Comparison With Peers:

Company Name Face Value EPS PE Ratio RoNW
Orissa Bengal carrier Ltd 10 3.33 9 14%
Chartered Logistics Ltd 1 1.24 14.96 26.82%
Tiger Logistics (India) Ltd 10 9.73 21.85 21.84%

Recommendation on Orissa Bengal Carrier Limited IPO:

Rating:6/10. 1-5: Fair 5-7: Good 7-10: Excellent

Lead Manager of Orissa Bengal Carrier Limited IPO:

  1. Guiness Corporate Advisors Private Limited

Registrar of Orissa Bengal Carrier Limited IPO:

  1. Bigshare Services Private Limited

Company Address:

Jiwan Bima Marg, Pandri Raipur-492001 Tel No: +91-771-4054518 E-mail: cs@obclimited.com Website www.obclimited.com

25th Sep 2018 - 27th Sep 2018 => Aavas Financiers IPO

Bid Details of Orissa Bengal Carrier Limited IPO as on
26 Mar 2018 | 11:07:00 PM

Category No.of shares offered No. of shares bid
2,782,000 2,884,000
2,782,000 3,644,000
- -
5,564,000 6,528,000
QIBs No
QIBs+HNIs Subscription 1.04X
Retail Subscription 1.31X
Total Subscription 1.17X

Discussion on Orissa Bengal Carrier Limited IPO: