Future Supply Chain Solutions raises Rs 195 crore from anchor investors

Future Supply Chain Solutions, one of India’s largest organised third-party logistics service operators, on Tuesday raised nearly Rs 195 crore by selling shares to institutional investors as part of its anchor book allocation, a day before its Rs 650 crore IPO opens.

In all, 2.93 million shares were allocated to 16 anchor investors. Nine of the anchor investors were mutual fund schemes belonging to six mutual fund houses.

The list of anchor investors consisted of prominent names like L&T Mutual Fund Trustee Ltd, Reliance Capital Trustee Company and HDFC Trustee Company, among others. Mutual funds together took home 57.44 percent of the share reserved for anchor investors.

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The issue, which opens on Wednesday and closes on Friday, will have 97,84,570 equity shares on offer at a price band of Rs 660-664 per share. Bids can be made for a minimum lot of 22 shares and in multiples of 22 thereafter.

Of the total number of shares on offer, up to 78,27,656 equity shares are being tendered by Griffin Partners and up to 19,56,914 shares are being sold by promoter Future Enterprises. The issue does not comprise of a fresh issue of shares and therefore, the company will not receive any proceeds from the IPO.

Future Supply Chain Solutions offers automated and IT-enabled warehousing, distribution and other logistics solutions to a wide range of customers. Its service offerings, warehousing infrastructure, pan-India distribution network, “hub-and-spoke” transportation model and automated technology systems support its competitive market position.

As of September 2017, the company ran contract logistics operations through 42 distribution centres across India and also operates 2 distribution centres of customers. Further, during September 2017, it operated approximately 687 containerised vehicles, including 257 GPS-enabled vehicles of which 144 are refrigerated (reefer) trucks that are owned by the company.

The company also operates 9,616 pallets as a part of its temperature-controlled logistics services.