Chartered Speed submits draft papers with Sebi for ₹855 crore IPO

The company may also consider a pre-IPO placement of up to ₹131 crore, in which the size of the fresh issue will be reduced accordingly

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Chartered Speed Ltd has filed preliminary papers with markets regulator Sebi to raise Rs 855 crore through an initial public offering (IPO).

The proposed IPO comprises a fresh equity raise of Rs 655 crore and an offer-for-sale of shares worth Rs 200 crore by promoters Pankaj Gandhi and Alka Pankaj Gandhi, according to the draft red herring prospectus (DRHP) filed on Thursday.

From the fresh issue, Rs 97 crore will be used to invest in electric buses, Rs 396.4 crore will be utilised for debt payment, and the balance will be allocated for general corporate purposes.

The company may also consider a pre-IPO placement of up to Rs 131 crore, in which the size of the fresh issue will be reduced accordingly.

Ahmedabad-based Chartered Speed, incorporated in 2007 and converted into a public company in 2018, is among India's leading passenger mobility firms.

As of June 30, 2025, it operated a fleet of over 2,000 buses across 500 cities, serving about 3.5 lakh passengers daily.

Its inter-city operations are concentrated in Gujarat, Odisha, Madhya Pradesh, Rajasthan, and Assam, while intra-city services are mainly in Gujarat and Madhya Pradesh.

The company's revenue from operations rose to Rs 666.7 crore in FY25 from Rs 332 crore in FY23. It reported a profit after tax of Rs 70 crore in FY25, compared with a loss of Rs 8.3 crore in FY23.

The company has placed orders for 945 electric buses through subsidiaries CSL Mobility Pvt Ltd and CSL Mobility I Pvt Ltd, with deliveries expected in FY27.

Motilal Oswal Investment Advisors and SBI Capital Markets are the book-running lead managers to the issue, while MUFG Intime India Pvt Ltd is the registrar.