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Brace Port Logistics is Navigating Growth with a Strategic IPO

Published 18-08-2024, 12:56 pm

Brace Port Logistics Ltd. (BPLL) is carving out its niche in the logistics sector by offering a comprehensive range of ocean cargo logistics services, with a focus on meeting the needs of diverse industries. From medical supplies and pharmaceuticals to automotive products, BPLL provides customized supply chain solutions that cater to clients across the globe.

The company also offers air freight, warehousing, and special cargo services, including handling shipments between foreign countries. Its strong Pan-India and global network ensures smooth and efficient delivery, backed by an experienced team with decades of industry expertise.

BPLL's operations are supported by its holding company, a leader in the Indian air cargo industry. With an emphasis on leveraging technology and innovation, BPLL delivers optimized logistics solutions that are flexible and tailored to customer needs. The company prides itself on handling complex logistics challenges, such as Ro-Ro (Roll-on/Roll-off) deals, which involve moving automotive products like Ford vehicles from one port to another, a first for an Indian company.

Since its inception in 2021, BPLL has quickly established itself as a preferred player in the logistics industry. The company’s ability to secure high-margin contracts has significantly boosted its financial performance. In FY23, BPLL recorded a revenue of INR 70.94 crore and a net profit of INR 6.18 crore, showcasing its rapid growth and the effectiveness of its business model.

Now, BPLL is set to go public with its maiden IPO, offering 3,051,200 equity shares at a price band of INR 76-80 per share. The IPO aims to raise INR 24.41 crore, with the proceeds earmarked for working capital and general corporate purposes. Post-IPO, the company's market capitalization is expected to reach INR 90.41 crore.

Financially, BPLL has demonstrated strong performance with an average EPS of INR 6.11 and an average RoNW of 53.75% over the past three fiscals. The IPO appears reasonably priced, with a P/E of 18.48 based on FY24 earnings.

In comparison to its listed peers, Tiger Logistics and AVG Logistics, BPLL is positioned as an emerging player with a unique offering in the logistics space. With its rapid progress and strategic focus on high-margin contracts, BPLL presents a compelling investment opportunity for those looking to benefit from the medium to long-term growth potential in the logistics sector.

Read More: Forcas Studio IPO.: Expanding Horizons in India’s Competitive Menswear Market

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