Voler Car Limited, a prominent player in India’s corporate mobility sector, is poised to launch its Small and Medium Enterprises (SME) Initial Public Offering (IPO) on February 12, 2025, with the subscription window closing on February 14, 2025. The company aims to raise ₹27 crore through this public issue.
IPO Details:
- Issue Size: The IPO comprises a fresh issue of 30,00,000 equity shares, each with a face value of ₹10. The shares are priced within a band of ₹85 to ₹90 per share. Investors can bid in lots of 1,600 shares, necessitating a minimum investment of ₹1,44,000.
- Allocation Structure: In accordance with SEBI regulations, the net issue is allocated as follows:
- Qualified Institutional Buyers (QIB): 50%
- Non-Institutional Investors (NII): 15%
- Retail Individual Investors (RII): 35%
- Market Makers: A reservation of 2,12,800 shares
- Key Dates:
- Basis of Allotment: February 17, 2025
- Initiation of Refunds: February 18, 2025
- Credit of Shares to Demat Accounts: February 18, 2025
- Listing Date: February 19, 2025
Company Overview:
Established in 2010 by Pawan Parasrampuria and Vikas Parasrampuria, Voler Car Limited specializes in providing Employee Transportation Services (ETS) to multinational corporations, particularly in the IT and ITeS sectors. Operating an asset-light model, the company manages a fleet exceeding 2,500 vehicles, including sedans, SUVs, buses, and electric vehicles. This fleet facilitates over 425,000 trips annually across nine major Indian cities, including Kolkata, Mumbai, Pune, Bhubaneswar, Delhi-NCR, and Ahmedabad.
Voler Car emphasizes safety and efficiency, offering features such as integrated GPS tracking, 24/7 customer support, and technology-driven solutions for seamless corporate travel management. The company also prioritizes women’s security by providing escorts when necessary.
Financial Performance:
In the first half of the fiscal year 2025 (H1 FY25), Voler Car reported an operating revenue of ₹21.49 crore and a net profit of ₹2.48 crore. For the entire fiscal year 2024 (FY24), the company achieved a revenue of ₹30.89 crore with a profit of ₹3.56 crore. This financial trajectory indicates a consistent growth pattern and improved profitability.
Objectives of the IPO:
The primary objectives for raising funds through this IPO include:
- Working Capital Requirements: Allocation of ₹20.38 crore to meet the company’s working capital needs for the fiscal years 2025 and 2026.
- General Corporate Purposes: Utilization of remaining funds for general corporate activities and to cover IPO-related expenses.
Management Team:
- Mr. Vikas Parasrampuria: Serving as the Whole-Time Director, he holds an MBA from ICFAI University and a B.Com from the University of Calcutta. With over 13 years of experience in corporate and travel services, he leads operations and strategic initiatives.
- Mr. Pawan Parasrampuria: The Chairman and Managing Director, he is a B.Com graduate from St. Xavier’s College, University of Calcutta. He brings over 13 years of experience, focusing on financial decision-making and strategic planning.
Investment Considerations:
Potential investors should assess the following factors:
- Strengths:
- A substantial fleet operating in multiple cities.
- An asset-light business model enhancing scalability.
- Commitment to safety and service quality.
- Risks:
- Geographical operations limited to six cities.
- High dependence on corporate clientele.
- Challenges in short-term liquidity management.
Application Process:
Investors can apply for the Voler Car IPO through various brokerage platforms. The process typically involves:
- Account Setup: Opening a Demat and trading account with a registered broker.
- Application Submission: Placing a bid for the desired number of shares within the specified price band.
- UPI Mandate Approval: Approving the payment mandate through the UPI application to block the required funds.
The allotment status can be checked post the allocation date on the registrar’s website or through the broker’s platform.
Voler Car Limited’s upcoming IPO presents an opportunity for investors to participate in a growing enterprise within the corporate transportation sector. The company’s strategic focus on technology integration, safety, and service quality positions it well for future expansion. However, potential investors should carefully consider the associated risks and conduct thorough due diligence before making investment decisions.