IPO of CarTrade Tech Limited listed on Bourses
CarTrade Tech, a multi-channel auto platform via its several integrated brands such as CarWale, CarTrade, Shriram Automall, BikeWale, CarTrade Exchange, Adroit Auto and Auto Biz; listed on BSE at Rs. 1,600 a 1.11% discount to its issue price. The scrip got listed NSE at Rs. 1,599.80 per share, a 1.12% discount to its issue price of Rs. 1618. The shares of the company at day end closed at Rs. 1,500.10 per share on BSE and Rs. 1,491 per share on NSE.
As per BSE, the total quantity traded stood at 5,21,763 lacs shares with a delivery quantity percentage of 29.20%. Quantity traded and delivery percentage at NSE was approx. 11 crore shares and 51.56 % respectively. Total Turnover (BSE+NSE) on Day 1 stood at Rs. 1,81,544.84 lacs.
The Market Capitalization of the Company post today’s closing price stood at Rs. 6,875.57 crores as per BSE and Rs. 6,879 crores as per NSE.
The Offer was an offer for sale of up to 18,532,216 Equity Shares (“Offer for Sale”) by the Selling Shareholders, received bids of 26,31,74,823 shares against the offered 1,29,72,552 equity shares. The portion reserved for retail investors was subscribed 2.75 times. While the Qualified Institutional Buyer category was subscribed 35.45 times and the Non-Institutional Investor category was subscribed 41 times.
Key brokerage houses like Antique Stock Broking, Anand Rathi, Ashika Stock Broking Limited, Nirmal Bang and ICICI Direct, had given recommendations of "Subscribe" to the issue for long term perspective while highlighting the key strengths of the company like (a) differentiated and profitable business model (b) Strong brand suite serving an addressable market worth US$ 14.3 billion (c) Strong competitive positioning driven by superior customer experience, brand and powerful network effect and (d) looking to monetize value added services and untapped opportunities. CarTrade Tech is a multi-channel auto platform with a presence across varied vehicle types and value-added services. Its platforms operate under several brands: CarWale, CarTrade, Shriram Automall, BikeWale, CarTrade Exchange, Adroit Auto and AutoBiz. Through these platforms, CT enables new and used automobile customers, vehicle dealerships, vehicle OEMs and other businesses to buy and sell their vehicles. Furthermore, it is the only profitable company among other related Platforms with 32 million average monthly unique visitors.
CarTrade Tech is a multi-channel auto platform with coverage and presence across vehicle types and value-added services. The company’s platforms operate under several brands: CarWale, CarTrade, Shriram Automall, BikeWale, CarTrade Exchange, Adroit Auto and AutoBiz. Through these platforms, CarTrade Tech enables new and used automobile customers, vehicle dealerships, vehicle OEMs and other businesses to buy and sell their vehicles in a simple and efficient manner.
The company’s consumer platforms i.e. CarWale, CarTrade and BikeWale, collectively get 3.2 crore average unique visitors every month (during the 3 months period ending March 31 2021) and Shriram Automall and other auction platforms had 8,14,316 vehicles listed for auction during FY 2021.
CarTrade Tech was the only profitable digital auto platform for the financial year 2020 (Source: RedSeer Report). CarTrade Tech is profitable since FY 19.
The company generates revenues from commission and fees from auctions and remarketing services, online advertising solutions, lead generation, technology based services to OEMs/Dealers/Banks and other financial institutions and inspection and valuation services.
The company is led by Mr Vinay Vinod Sanghi who is the Chairman, Managing Director and CEO. Key management personnel include Aneesha Menon - Executive Director and Chief Financial Officer, Banwari Lal Sharma - Chief Executive Officer – Consumer Business, Sameer Malhotra - Chief Executive Officer of Shriram Automall, Akshay Shankar - Chief Product Officer – Group and Vikram Alva - Chief Strategy Officer – Group.It is backed by marquee institutional shareholders that include affiliates of Warburg Pincus, Temasek, JP Morgan and March Capital.