Mon Nov 18 18:48:52 UTC 2024: ## Zinka Logistics (BlackBuck) IPO Undersubscribed on Final Day
**MUMBAI, November 18, 2024** – The initial public offering (IPO) of Zinka Logistics Solutions, also known as BlackBuck, closed significantly undersubscribed today. The IPO, aiming to raise Rs 1,114.72 crore, garnered subscriptions of only 0.97 times its target by the end of the bidding period. This translates to a total application money of Rs 197.66 crore, a fraction of the targeted amount.
The final day saw a sluggish response, with the last recorded application representing just 0.32% of the shares on offer. Despite a price range of Rs 259-273 per share, and recommendations from several analysts including Adroit Financial Services Private, Anand Rathi, and Arihant Capital Markets to “Apply,” investor interest remained subdued. Other analysts offered more cautious recommendations, with Swastika Investmart maintaining a “Neutral” stance.
The company intends to use the IPO proceeds for marketing, sales, investment in a non-banking financial company (NBFC) subsidiary, and product development. The grey market premium (GMP) remained at zero throughout the bidding period, a stark contrast to the Rs 24 seen earlier in the week. This lack of positive market sentiment likely contributed to the underwhelming subscription rate.
Share allotment is scheduled for November 19, with listing on the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) expected on November 21. While some analysts are optimistic, the low subscription level raises concerns about the IPO’s performance in the coming days.
First Piper 