Western Carriers (India) Limited IPO

About Western Carriers (India) Limited

Western Carriers (India) is the largest private, multi-modal, rail-focused, 4PL asset-light logistics company in India in terms of container volumes in Fiscal 2022. With a strong presence in the domestic and EXIM (Export-Import) markets, the company has achieved a market share of 7% and 3%, respectively, based on container volumes handled in the same fiscal year.

With a rich legacy and extensive expertise in road, rail, sea, and river multi-modal transportation, Western Carriers (India) boasts five decades of experience in the logistics industry. The company's Promoter, Rajendra Sethia, has been an integral part of the logistics sector since 1972, when he established a rail-focused logistics business. In 2013, this business was acquired by Western Carriers (India), solidifying its position as a leader in the industry.

Operating on a scalable and asset-light business model, Western Carriers (India) is able to provide innovative and differentiated 3PL (third-party logistics) and 4PL (fourth-party logistics) solutions. The company excels in addressing the complexities of the supply chain by offering customised, one-stop/single-window, end-to-end, and integrated logistics solutions. These solutions encompass a wide range of value-added services, ensuring a seamless experience for their customers.

Western Carriers (India) Limited IPO Details

Western Carriers (India) Limited IPO is a fresh issue aggregating up to ₹500 crore and has an offer for sale aggregating to ₹93.29 lakh. The price band, lot size and other details are yet to be announced. It will be listed on BSE and NSE.

Western Carriers (India) Limited IPO Objectives

The company proposes to use the net proceeds from the issue towards:

• Prepayment or scheduled repayment of a portion of certain outstanding borrowings availed by the company.
• Funding of capital expenditure requirements of the company towards the purchase of: (i) commercial vehicles; (ii) 40 feet specialised containers and 20 feet normal shipping containers; and (iii) reach stackers.
• General corporate purposes.

Peer Details

Container Corporation of India Limited, Mahindra Logistics Limited, and TCI Express Limited are the listed peer companies operating in the same business line.

Highlights of Western Carriers (India) Ltd

• The company has demonstrated a successful track record of growth in revenue, EBITDA and profit for the year, with revenue from operations increasing to ₹14,708.75 million in Fiscal 2022 from ₹10,672.89 million in Fiscal 2020, representing a CAGR of 17.39%.
• EBITDA increased to ₹1,088.87 million in Fiscal 2022 from ₹794.21 million in Fiscal 2020, representing a CAGR of 17.09%, and profit for the year increased to ₹611.29 million in Fiscal 2022 from ₹358.58 million in Fiscal 2020, representing a CAGR of 30.57%.
• As of December 31, 2022, the company has four zonal offices, over 50 branch offices and 15 warehouses, all of which it has leased. As of that date, Western Carriers owned over 400 GPS-enabled heavy commercial vehicles, over 100 pieces of heavy equipment and over 400 shipping containers.