TVS Supply Chain to refile IPO papers, seek up to Rs 1,200 crore

The new public issue size is likely to be around ₹1,200 crore, including a fresh issue and an offer for sale (OFS) from the existing investors. However, the promoters are not participating in the OFS in a digression from the previous filing, according to bankers.

In February last year, TVS Supply Chain filed the draft papers with the market regulator for an IPO with a fresh equity issue of up to ₹2,000 crore and an offer for the sale of up to 59.5 million equity shares by the promoter and existing investors. Last May, the company got Sebi’s nod to launch the IPO.

However, according to bankers, the IPO plans were delayed due to weak consumer sentiments amid last year’s Russia-Ukraine war. TVS Supply Chain’s DRHP approval will expire early next month.

Omega TC Holdings PTE, Mahogany Singapore Company PTE, Tata Capital Financial Services, and DRSR Logistics Service will likely sell part of their shares during the public issue.

An email query sent to the company did not elicit any response.

Promoted by TVS Mobility, TS Rajam Rubbers, Dhinrama Mobility Solution, and R Dinesh, TVS Supply Chain will be the first IPO of the TVS Mobility division in three decades.To fuel its expansion plans, the company last month raised primary capital of ₹418 crore cash and a share swap through a minority stake purchase of its subsidiary, White Data Systems, through a private placement. The share swap has also resulted in institutional investors such as SBI, Bajaj Holding, Hero Enterprises, and Cholamandalam Finance becoming its shareholders.

JM Financial, Axis Capital, JP Morgan, BNP Paribas, Edelweiss Financial Services, and Equirus are the book-running lead managers.

Revenues of the company for the financial year ending March 2023 are expected to surpass ₹10,000 crore, a growth of around 17% from the previous year, according to bankers.

TVS Supply Chain is a differentiated Indian supply chain and logistics solution provider with global capabilities and networks across the value chain in over 25 countries with 18,000 employees.