Landmark Cars IPO Date, GMP, Review, Price details

Landmark Cars IPO is set to enter the Indian Exchanges as it filed Draft Red Herring Prospectus (DRHP) with market regulators SEBI. The automobile dealership chain is planning to raise ₹762 crore through an initial public offering.

Landmark Cars IPO comprises of fresh issue of equity shares aggregating up to ₹150 crores and an Offer for sale (OFS) aggregating up to ₹612 crores.

TPG-backed Landmark Cars Limited is India’s biggest seller of premium vehicles like Mercedes Benz, Volkswagen, Fiat Chrysler, and Honda. Predicted to be the first automotive dealership company in India to offer an IPO, it is also the first automotive dealership company to receive private equity investment.

 

LANDMARK IPO

The IPO will offer private equity company TPG a chance to sell a part of its stake in the company. TPG had invested around ₹140 crores in Landmark Cars in FY15. With its entry into the automobile dealership chain Landmark Cars business has more than doubled. The sales grew extensively from 20000 to 25000 cars at the end of FY20, with an annual turnover of ₹2,500-3,000 crore.

Starting its operations in 1998, led by Sanjay Thakker, Landmark Cars Limited has operations in more than 110 outlets across eight states in India. It also provides services like insurance policies and vehicle finance. It is the biggest seller of Mercedes Benz, Volkswagen, Honda, and Jeep. It is also the third biggest retailer of Renault cars in India.

One of the key factors about Landmark Cars IPO is it being a debt-free company and the company believes in having an asset-light model to run its operation. Considered as one of the most professionally run automotive retail businesses, the company recently entered into a partnership with global EV giant BYD to sell electric vehicles in Mumbai and the NCR.

Landmark Cars IPO Promoter

  • Sanjay karsandas Thakker.

Landmark Cars IPO Objectives

  • The proceeds from the fresh issue will be utilized for expansion.
  • General corporate purposes.

Landmark Cars IPO Details

IPO Details Landmark Cars
Issue Period Opening Date: xx-xx-2022
Closing Date:   xx-xx-2022
Price Band ₹ – ₹ per equity share
Issue Size ₹762 Cr
Face Value ₹5 per equity share
Issue Type Book built issue
Fresh Issue [.] Eq Shares of ₹5 face value
(aggregating up to ₹150 Cr)
Offer for sale [.] Eq Shares of ₹5 face value
(aggregating up to ₹612 Cr)
Listing NSE and BSE
Registrar Link Intime India Private Limited

Landmark Cars IPO Timeline

Landmark Cars IPO issue date, issue price, allotment date, and the listing date, and all the details will be announced soon.

IPO Opens To be announced
IPO Ends To be announced
Allotment Begins To be announced
Refund Initiation To be announced
Allotment Date To be announced
Listing Date To be announced

Landmark Cars IPO Lot Size (Retail Individual Investors)

Applications Lots Shares Amount(Cut-off)
Minimum
Maximum

Landmark Cars IPO Investor Category

Landmark Cars IPO has 35% of the net offer under the Retail Category.

QIB (Qualified Institutional Buyers) 50% of net offer
NII (Non-Institutional Investors) 15% of net offer
RII (Retail Individual Investors) 35% of net offer

Landmark Cars IPO GMP

Landmark Cars IPO  has not yet started trading in the grey market. Currently, the GMP is zero and will be updated once it starts trading in the grey market.

Landmark Cars IPO Review

The market for premium and luxury cars is expected to grow by 10-15% in the next five years which gives a positive sign for the TGP-backed company. Landmark Cars being the biggest seller of premium vehicles also has a sister company, called Policy Boss. The company is the biggest auto insurance broking firm in the country selling close to 6-7 lakh insurance policies per year.

With the pandemic around for almost 2 years now and a negative compounded annual growth rate in the last five years, the Indian automobile market is waiting for a strong bounce-back. A detailed review of its price band and valuations will be updated soon.

Landmark Cars IPO Book Running Lead Managers

  • Axis Capital Limited.
  • ICICI Securities Limited.

Landmark Cars IPO Registrar

  • Link Intime India Private Limited.

Leave a Comment