VRL Logistics, one of the leading pan-India surface logistics and parcel delivery service providers, will be launching public issue on April 15, 2015. It is offering 1,170 million equity shares of Rs 10 each. It has set price band between Rs 195 to Rs 205 a share.
Commenting on the VRL Logistics IPO, Reliance Securities, said, ''VRL Logistics receives 75% of the revenue from road transportation business, 20% from bus operations and 5% from air chartering services and sale of power. The company owns the largest fleet of commercial vehicles in private sector in India and has got pan-India presence in goods transportation, while bus operations are concentrated in Southern and Western regions of India. Considering its past financial performance and promising growth outlook in road transportation business, we believe the IPO is attractively priced and hence we recommend Subscribe to the issue.''
Meanwhile, Angel Broking, said, ''VRL Logistics has an established brand name in the transportation industry in India with one of the largest fleet of commercial vehicles in the private sector. Goods transportation is the primary business of the company accounting for ~76% of the overall revenues (for 9MFY2015). It also provides luxury bus services across South and West of India. Additionally, it has operations that include courier services, hotel (restaurant) operations, sale of power (Wind Power business) and air chartering services. Considering the improving economic outlook, its pan-India presence and resonable valuations, we recommend a Subscribe to the issue at the upper price band.
GEPL Capital, said, ''VRL owned and operated the largest fleet of commercial vehicles in the private sector in India. They provide general parcel and priority parcel delivery, courier and full truckload (FTL) through widespread transportation network in 28 states and four union territories across India. VRL comprise of 624 branches and 346 agencies across India. We believe that this valuation looks cheaper. So we recommend Subscribe to this IPO.''
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