Shreeji Shipping Global raises Rs 123 cr from anchor investors

New Delhi, Aug 18 (PTI) Shreeji Shipping Global Ltd, a provider of shipping and logistics solutions for dry bulk cargo, on Monday mobilised more than Rs 123 crore from anchor investors, a day before its initial share-sale opening for public subscription.

Those who participated in the anchor round included Bank of India Mutual Fund (MF), Morgan Stanley Asia (Singapore) Pte, BNP Paribas Financial Market — ODI, Aarth AIF Growth Fund, Viney Growth Fund, Khandelwal Finance, Golden Equity Fund Series I, SB Opportunities Fund II, Invicta Continuum Fund I, and Rajasthan Global Securities, according to a circular uploaded on the BSE website.

As per the circular, the company has allotted 48.89 lakh equity shares to 15 funds at Rs 252 apiece, aggregating the transaction size to Rs 123.2 crore.

The initial public offering (IPO), with a price band of Rs 240-252 per share, would be available for subscription from August 19-21.

Shreeji Shipping Global's IPO is entirely a fresh issue of 1.63 crore equity shares with no offer for sale (OFS) component. At the upper end of the price band, the company is expected to garner Rs 411 crore through the public issue.

The company is planning to use Rs 251.2 crore out of the IPO proceeds for acquisition of dry bulk carriers in the supramax category in the secondary market, and Rs 23 crore for repaying debt.

The flagship company of Jamnagar-based Shreeji Group primarily focuses on non-major ports and jetties, particularly along the west coast of India.

According to a D&B Report, cargo handled at ports in the country is expected to grow at an annual rate of 10.80 per cent to 2,849 MMTs by FY30 from 1,540 million metric tons (MMTs) in FY24.

Ports in Gujarat are set to see even faster growth, with cargo expected to rise to 720 MMTs by FY30 from 317.20 MMTs in FY24, representing a 17.50 per cent annual growth rate.

India has a long coastline with 12 major ports and 217 minor ports. Among these, 78 non-major ports handle cargo, while others are used for fishing.

Beeline Capital Advisors Pvt Ltd and Elara Capital (India) Pvt Ltd are the book-running lead managers to Shreeji Shipping's public issue.

Shares of the company are expected to begin trading on the bourses from August 26. PTI SP TRB