Sahara Maritime IPO Opens Today: Know Latest GMP, Subscription, Dates, Issue Price, And Other Details

Sahara Maritime IPO: The three-day initial public offering (IPO) of Sahara Maritime will open for subscription today (December 18, 2023) and conclude on December 20, 2023. The IPO is a fixed price issue of Rs 6.88 crores and is completely a fresh issue of 8.5 lakh shares. Sahara Maritime's IPO price has been fixed at Rs 81 per share.

The tentative listing date of Sahara Maritime IPO is December 26, 2023. The public issue will be listed in the BSE SME segment. The Issue and Net Issue shall constitute 27.67% and 26.26% of the post-issue paid-up Equity Share capital of the Company, respectively.

Sahara Maritime IPO lot size:

The minimum lot size for an application is 1600 Shares. The minimum amount of investment required by retail investors is Rs 129,600. The minimum lot size investment for HNI is two lots (3,200 shares) amounting to Rs 259,200.

Sahara Maritime IPO Important Dates:

The company is expected to finalize the basis of the allotment of IPO shares by December 21, while the tentative date for crediting the shares to demat accounts of eligible investors is December 22.

Sahara Maritime IPO shares will be listed on the BSE SME with effect from December 26.

Utilization of fresh issue from Sahara Maritime IPO:

The company intends to deploy Rs 32.68 Lakhs of the Net Proceeds towards funding our capital expenditure proposed to be incurred in respect of the purchase of (i) Commercial Vehicles; and (ii) Office Equipments. In order to grow its revenue from freight, handling, agency, and other charges, a portion of the Net Proceeds aggregating to Rs 24.13 Lakhs will be used to purchase of new truck for our business. Rs 483.70 lakhs from the net proceeds will be utilized to fund the working capital requirements of our Company in the Financial Years ending March 31, 2024 and March 31, 2025. Meanwhile, a portion of funds will also be used for general corporate purposes.

Sahara Maritime IPO GMP today

According to market observers, GMP for Sahara Maritime SME IPO has not started yet. The grey market premium (GMP) is the price at which an IPO is traded in an unregulated grey market ahead of its listing. The GMP reflects how a particular company's IPO issue might react on the day of listing.

About the company:

Sahara Maritime was incorporated as "Sahara Maritime Limited" 06th March 2009 in Mumbai, Maharashtra India. Subsequently, the status of our Company was changed to public limited, and the name of the Company was changed to "Sahara Maritime Limited" under a special resolution passed at the Extra-Ordinary General Meeting of the Company. The company is a non-govt Company and is registered at the Registrar of Companies, Mumbai.

The company is registered with the Director General of Shipping, Ministry of Shipping, Government of India to act as a Multimodal Transport Operator. Multi-Modal Transport Operator's License enables Sahara Maritime to issue a single negotiable multimodal transport document covering multiple modes of transport and position itself as an independent player in this field thus strengthening the revenue model.

Financials of the company:

The company's total income for the period ended September 30, 2023 stood at Rs 531.99 lakhs. Revenue from operations: Revenue from operation for the period ended September 30, 2023, was Rs. 525.49 lakhs, constituting 98.78% of the total revenue. Revenue from operations consists of Clearing and forwarding Charges, Freight Charges, THC & B/L Documentation Charges and Congestion Surcharges.

Profit before tax for the period ended September 30, 2023, stood at Rs. 1.40 lakhs which is 0.26% of the total revenue.

Comparison of the financial year ended 2023 to the financial year ended 2022

Income Total Revenue: Total revenue increased by 24.07% from Rs 2,104.52 Lakhs for the FY 2022 to Rs 2,611.12 Lakhs for the FY 2023 due to the factors described below:

Revenue from Operations was increased by 24.03% to Rs 2,609.95 Lakhs for FY 2023 from Rs 2,104.23 Lakhs for FY 2022.

Analysis of Sahara Maritime IPO:

• There are outstanding litigations pending against the company's directors, Promoters, and group companies, which, if determined adversely, could affect the firm's operations.
• The company depends on intermediaries for logistics, transport management freight-related services, etc for carrying out business operations, and termination of arrangements with any of these intermediaries may adversely impact the company's business and results of operations.
• Significant increases in freight, transportation, and other costs may materially and adversely affect business, financial condition, and results of operations.
• If the company fails to sell container space that it purchases from sea shipping lines, it will not be able to recover its costs and profitability may suffer.
• The firm generates its entire portion of sales from operations in the geographical regions within Maharashtra and any adverse developments affecting operations in this region could have an adverse impact on revenue and results of operations.
• The Restated Financial Statements for the period ended September 30, 2023, and financial years ended on March 31, 2023, 2022 and 2021 have been provided by peer-reviewed chartered accountants who was not statutory auditor of the Company.

Industry Overview

According to the Ministry of Shipping, around 95% of India's trading by volume and 70% by value is done through maritime transport. In November 2020, the Prime Minister, Narendra Modi renamed the Ministry of Shipping as the Ministry of Ports, Shipping and Waterways. India has 12 major and 200+ notified minor and intermediate ports.

Under the National Perspective Plan for Sagarmala, six new mega ports will be developed in the country. The Indian ports and shipping industry play a vital role in sustaining growth in the country's trade and commerce. India is the sixteenth-largest maritime country in the world with a coastline of 7,516.6 kms. The Indian Government plays an important role in supporting the port sector.