Why BlackBuck IPO listing rescheduled for November 22: Key reason revealed

Zinka Logistics Solutions IPO listing: the company's shares were scheduled to list today, November 21, 2024, as mentioned in the Red Herring Prospectus filed with the Sebi

Shares of Zinka Logistics Solutions, the owner of the digital app platform BlackBuck, are set to make their market debut tomorrow, November 22, 2024, under the T+3 listing rule.

 

Initially, the company's shares were scheduled to list today, November 21, 2024, as mentioned in the Red Herring Prospectus filed with the Securities and Exchange Board of India (Sebi). However, the listing was deferred by a day due to the closure of stock exchanges on November 20, 2024, because of state elections in Maharashtra, where the exchanges are headquartered.

 

The T+3 listing rule requires public issues of equity and debt securities to be listed on a stock exchange within three working days of the issue's closure.

 

Meanwhile, the unlisted shares of BlackBuck were trading flat in the grey markets on Thursday, indicating a lackluster start for the company’s shares, revealed the source tracking grey market acitivities. 

 

The public offering of BlackBuck closed for public subscription on Monday, November 18, 2024. It garnered a decent response from investors, being subscribed 1.86 times by the final subscription date. This was driven by Qualified Institutional Buyers (QIBs), who placed the highest bids with a subscription rate of 2.76 times, followed by retail investors at 1.16 times and non-institutional investors (NIIs) at 0.24 times.

 

The basis of allotment of BlackBuck IPO shares was finalised on Tuesday, November 19, 2024.

 

The BlackBuck IPO comprises a fresh issue of 20,146,520 shares and an offer for sale of 20,685,800 shares, with a face value of Rs 1 each. It was available at a price band of Rs 259-273 with a lot size of 54 shares.

 

Brokerages issued mixed views on the BlackBuck IPO. Anand Rathi Research and Bajaj Broking recommended long-term investment, citing growth potential. Conversely, Swastika Investmart assigned a neutral rating, likely due to valuation concerns.

 

BlackBuck intends to use the proceeds from the fresh issue to fund sales and marketing costs and invest in BlackBuck Finserve, the company’s NBFC subsidiary, for capital augmentation to meet future requirements. The company will also allocate funds for product development and general corporate purposes.

 

Zinka Logistics Solutions, through its BlackBuck platform, offers services such as payments, telematics, load marketplaces, and vehicle financing. The company aims to streamline operations for truck operators by providing digital tools to enhance efficiency and profitability.