Deccan Transcon Leasing Limited IPO Overview

Deccan Transcon Leasing Limited is offering an IPO worth ₹65.06 crores, including a fresh issue of 55.24 lakh shares for ₹59.66 crores and an offer for sale of 5 lakh shares for ₹5.40 crores. The IPO opens on September 13, 2024, and closes on September 18, 2024, with allotment on September 19 and listing on NSE SME set for September 23, 2024.

The price band is ₹102 to ₹108 per share. Retail investors must invest a minimum of ₹1,29,600 for 1,200 shares, while HNIs need to invest ₹2,59,200 for 2,400 shares. Unistone Capital Pvt Ltd is the lead manager, Link Intime India Pvt Ltd is the registrar, and Giriraj Stock Broking is the market maker. For detailed information, refer to the IPO RHP.

Deccan Transcon Leasing Limited IPO Important dates

Deccan Transcon Leasing IPO opens on September 13, 2024, and closes on September 18, 2024.

IPO Open Date Friday, September 13, 2024
IPO Close Date Wednesday, September 18, 2024
Basis of Allotment Thursday, September 19, 2024
Initiation of Refunds Friday, September 20, 2024
The credit of Shares to Demat Friday, September 20, 2024
Listing Date Monday, September 23, 2024
Cut-off time for UPI mandate confirmation 5 PM on September 18, 2024

Deccan Transcon Leasing Limited IPO  Financial Performance

Deccan Transcon Leasing Limited Financial Information
Period Ended 31 Mar 2024 31 Mar 2023 31 Mar 2022
Assets ₹77.22 crore ₹54.08 crore ₹39.25 crore
Revenue ₹153.64 crore ₹180.62 crore ₹153.19 crore
Profit After Tax (PAT) ₹11.82 crore ₹8.56 crore ₹5.19 crore
Net Worth ₹32.21 crore ₹20.28 crore ₹12.08 crore
Reserves and Surplus ₹15.01 crore ₹18.08 crore ₹9.88 crore
Total Borrowing ₹23.10 crore ₹17.75 crore ₹9.90 crore

Deccan Transcon Leasing Limited IPO Key Performance Indicator

The market capitalization of Deccan Transcon Leasing IPO is Rs 245.41 Cr. KPI as of March 31, 2024.

KPI Values
ROE 45.03%
ROCE 41.43%
Debt/Equity 0.72
RoNW 36.69%
P/BV 5.77
PAT Margin (%) 7.75
Pre IPO Post IPO
EPS (Rs)  6.87 5.2
P/E (x)  15.72 20.76

Deccan Transcon Leasing Limited IPO Objectives

The Company proposes to utilize the net proceeds from the Offer towards funding the following objects and achieve the benefits of listing on the NSE Emerge platform of the National Stock Exchange of India Limited:

  • We are funding capital expenditure requirements for the procurement of tank containers.
  • Funding working capital requirements of the Company; and
  • General corporate purposes

Deccan Transcon Leasing Limited IPO Lot Size

Investors can bid for a minimum of 1200 shares and in multiples thereof. The table below depicts the minimum and maximum investment by retail investors and HNI in terms of shares and amounts.

Application Lots Shares Amount
Retail (Min) 1 1200 ₹129,600
Retail (Max) 1 1200 ₹129,600
HNI (Min) 2 2,400 ₹259,200

Deccan Transcon Leasing Limited IPO Details

IPO Date September 13, 2024 to September 18, 2024
Listing Date [September 23, 2024]
Face Value ₹10 per share
Price Band ₹102 to ₹108 per share
Lot Size 1200 Shares
Total Issue Size 6,024,000 shares
(aggregating up to ₹65.06 Cr)
Fresh Issue 5,524,000 shares
(aggregating up to ₹59.66 Cr)
Offer for Sale 500,000 shares of ₹10
(aggregating up to ₹5.40 Cr)
Issue Type Book Built Issue IPO
Listing At NSE SME
Shareholding pre issue 17,199,448
Shareholding post issue 22,723,448
Market Maker portion 330,000 shares

Deccan Transcon Leasing Limited Company Overview and Services

Incorporated in February 2007, Deccan Transcon Leasing Limited specializes in offering tank containers on lease and providing logistics and supply chain solutions across various sectors. The company’s services include domestic tank container logistics, tank fleet management, customs clearance, transportation, and Non-Vessel Operating Common Carriers (NVOCC) services.

Diverse Clientele and Extensive Track Record

As of July 31, 2024, Deccan Transcon Leasing has a strong client base with over 100 customers who have been associated for more than three years. In the past year alone, the company has served over 884 customers and built a record of serving more than 5,000 clients.

Service Categories and Industry Focus

Deccan Transcon Leasing’s services are divided into two main categories:

  • Leasing of Containers
  • Shipping & Freight Forwarding

The company primarily serves industries such as chemicals, pharmaceuticals, FMCG, agriculture, and specialty chemicals, with a focus on petrochemicals. Their global reach spans 40 countries.

Global Presence and Logistics Operations

Deccan Transcon Leasing operates with agencies in Europe, Asia, Oceania, South America, Africa, and the USA, managing logistics for inbound and outbound cargo. These agencies handle all necessary operations and documentation for cargo movement between these regions.

Competitive Strengths of Deccan Transcon Leasing Limited

  • Global Reach: Offers logistics services across various continents, providing access to diverse economic regions.
  • Strong Customer Base: A large client base with long-term relationships that enhances stability and growth.
  • Advanced Logistics Technology: Utilizes cutting-edge technology, including advanced tracking systems, digital platforms for customer interaction, and transaction processing.
  • End-to-End Logistics Solutions: Provides comprehensive services covering the entire logistics chain.

As of July 31, 2024, Deccan Transcon Leasing employs 84 people, underscoring its capability to deliver quality services across the globe.

Deccan Transcon Leasing Limited IPO SWOT Analysis

Strengths:

  • Established Track Record: Deccan Transcon Leasing Limited has a proven history in the leasing sector, which can enhance investor confidence.
  • Diverse Leasing Portfolio: The company offers a range of leasing solutions, catering to various industries such as manufacturing, logistics, and retail, reducing dependency on a single sector.
  • Experienced Management Team: Led by professionals with significant industry experience, ensuring sound decision-making and strategic growth.
  • Steady Revenue Growth: Consistent growth in revenue and profit margins, demonstrating the company’s ability to capture market opportunities.

Weaknesses:

  • High Dependence on Borrowing: The company’s business model may rely heavily on debt, which could increase financial risk, especially in a rising interest rate environment.
  • Limited Market Presence: Compared to larger competitors, the company’s market share and geographical reach may be limited, affecting scalability.
  • Regulatory Risks: The leasing industry is subject to stringent regulations, and changes could impact the company’s operations and profitability.

Opportunities:

  • Growing Demand for Leasing Services: Increasing demand for leasing in various sectors presents growth opportunities for the company.
  • Expanding into New Markets: Potential to expand geographically or diversify into new leasing segments, leveraging its existing expertise.
  • Digital Transformation: Adopting digital tools and technology could streamline operations and reduce costs, improving profitability.

Threats:

  • Economic Uncertainty: Economic downturns or slowdowns can affect demand for leasing services and increase the risk of defaults.
  • Competitive Pressure: Intense competition from both established players and new entrants could impact market share and pricing power.
  • Interest Rate Fluctuations: Rising interest rates could increase borrowing costs, affecting margins and overall profitability.

Deccan Transcon Leasing Limited IPO GMP Details

Deccan Transcon Leasing  SME IPO last GMP is ₹20, last updated Sep 11th, 2024. With a price band of 108.00, Deccan Transcon Leasing SME IPO’s estimated listing price is ₹128 (cap price + today’s GMP). The expected percentage gain/loss per share is 18.52%.

Stay with us to know the daily price trend of Deccan Transcon Leasing SME IPO  GMP with an expected listing price.

GMP Date IPO Price GMP Sub2 Sauda Rate Estimated Listing Price Last Updated
11-09-2024 108.00 ₹20   18200 ₹128 (18.52%) 11-Sep-2024
10-09-2024 108.00 ₹10   9100 ₹118 (9.26%) 10-Sep-2024
09-09-2024 ₹0  — ₹ (0%) 9-Sep-2024

Deccan Transcon Leasing Limited IPO subscription status 

Note that the bidding starts at 10 AM and ends at 5 PM on the days when the public issue is open.

Deccan Transcon Leasing Limited IPO Allotment status 

The allotment status of the Deccan Transcon Leasing IPO is expected to be available on September 19, 2024.

Deccan Transcon Leasing IPO allotment status is not available at this time. Deccan Transcon Leasing IPO – The allotment status will be available once the basis of the allotment is finalized. Please revisit us to check the latest updates for Deccan Transcon Leasing Limited IPO allotment status.

To check Deccan Transcon Leasing IPO allotment status, follow the steps below:

  • Click on the below allotment status check button.
  • Select Company Name.
  • Enter your PAN Number, Application Number or DP Client ID (Anyone).
  • Click on Search.

On securing the allotment, you will receive the credit of equivalent shares in your Demat account.

If you have any concerns or queries about the allotment status, contact Link Intime India Private Ltd either by phone or email. Investors can call on +91-22-4918 6270 or send an email with all relevant details to deccantranscon.ipo@linkintime.co.in.

Deccan Transcon Leasing Limited IPO Contact Details

Deccan Transcon Leasing Limited
Suite No 507, 5th floor
Image Capital Park, Image Garden Road
Madhapur, Shaikpet, Hyderabad- 500081
Phone: 040-40146828
Email: compliance@deccantrans.c
Website: https://www.deccantrans.com/

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Disclaimer: Investing in Initial Public Offerings (IPOs) involves substantial risk, and financial returns are not guaranteed. The information provided should not be construed as financial or investment advice. Prospective investors are advised to consider their financial situation, investment objectives, and risk tolerance before participating in an IPO. It is recommended to consult with a qualified financial advisor or professional before making any investment decisions. Past performance is not indicative of future results. Investments in IPOs may be subject to market risk, including the potential loss of principal.