ABS Marine Services Limited’s IPO consists of a fresh issue of 67,00,000 lakh shares of INR worth INR 10 each, totaling 96.29 crores. The company aims to allocate funds to offshore vessel acquisition, working capital, and general corporate purposes.
ABS Marine Services Limited IPO – Important Dates
| ABS Marine Services IPO Date | May 10, 2024 to May 15, 2024 |
| ABS Marine Services IPO Listing Date | May 21, 2024 |
| ABS Marine Services IPO Price | INR 140-147 per share |
| ABS Marine Services IPO Lot Size | 1000 shares |
| ABS Marine Services IPO Total Issue Size | INR 96.29 crores |
| ABS Marine Services IPO Basis of Allotment | May 16, 2024 |
| ABS Marine Services IPO Initiation of Refunds | May 17, 2024 |
| ABS Marine Services IPO Credit of Shares to Demat | May 17, 2024 |
| ABS Marine Services IPO Issue Type | Book Built Issue IPO |
| ABS Marine Services IPO Listing At | NSE SME |
ABS Marine Services Ltd IPO – Company Profile
ABS Marine Services, led by Capt. P B Narayanan manages five owned vessels, oversees 12 vessels for various entities, and provides crew management for 24 ships, spanning oil tankers to passenger vessels.
Their fleet comprises wholly owned, chartered-in, managed, and crewed vessels featuring advanced DP-2 Multipurpose Offshore Supply Vessels, Anchor Handling Towing Supply Vessels, and diverse research, cargo, and passenger vessels.
They’re fully integrated with in-house vessel management, serving the Government of India, industrial concerns, PSUs, port authorities, and the private sector. Ten strategic contracts, notably one with MOES, contribute 23.50% to their revenue.
ABS Marine Services IPO Review
ABS Marine Services Technologies’ financial analysis reveals a mixed performance. Revenue increased initially but fell short later. Profitability and equity improved, while return on net worth declined, reflecting varying aspects of the company’s performance. Total assets increased, suggesting potential growth.
- Revenue Trend: The revenue increased from ₹5,748.59 lakhs in March 2022 to ₹9,489.12 lakhs in March 2023. The revenue for the current year’s 7-month period ending October 2023 is INR 5,033.16 lakhs, falling short of last year’s benchmark.
- Equity and Liabilities: Equity has shown a consistent increase over the periods, reflecting potential growth and expansion.
- Profitability: The profit after tax (PAT) has significantly increased from ₹1,025.31 lakhs in March 2022 to ₹1,370.87 lakhs by October 2023. This improvement in profitability could be a source of confidence for investors.
- Earnings per Share (EPS): The diluted EPS have risen from ₹4.31 in March 2022 to ₹6.71 by December 2023, reflecting higher earnings per share for investors.
- Return on Net Worth (RoNW): The RoNW has grown from 9.73% to 12.62%, indicating an increase in the company’s ability to generate returns on shareholder equity.
- Financial Position: Total assets have increased, suggesting potential business growth.
ABS Marine Services IPO Fundamental Analysis
| Particular | As of 31 March 2022 | As of 31 March 2023 | As of 31 October 2023 |
| Revenue (₹ in lakhs) | 5,748.59 | 9,489.12 | 5,033.16 |
| Equity (₹ in lakhs) | 9,620.86 | 10,519.93 | 11,627.88 |
| Expenses (₹ in lakhs) | 5,868.04 | 8,657.51 | 3,938.72 |
| Profit and Loss After Tax (₹ in lakhs) | 1,025.31 | 1,058.43 | 1,370.87 |
| Diluted EPS only (₹) | 4.31 | 4.44 | 6.71 |
| Return on Net Worth (%) | 9.73 | 10.19 | 12.62 |
| NAV per Equity Share (₹) | 46.50 | 51.96 | 59.45 |
| Total Assets (in lakhs) | 12,951.04 | 14,407.89 | 15,674.19 |
| Total Liabilities (in lakhs) | 3,330.18 | 3,887.96 | 4,046.31 |
ABS Marine Services Limited IPO Peer Comparison
ABS Marine Services Limited shows steady net profit performance, Shipping Corporation of India demonstrates significant earnings, and Seamec Limited exhibits lower but consistent net profit.
| Company | CMP(₹ in lakhs) | Face Value (₹) | P/E (₹) | EPS (Basic) (₹) | EPS (Diluted) (₹) | RoNW (%) | Total Income (₹) |
| ABS Marine Services Limited | NA | 10 | NA | 5.29 | 5.29 | 10.19 | 11,380.78 |
| Shipping Corporation of India | 233.65 | 10 | 12.51 | 18.68 | 18.68 | 13.52 | 5,90,721 |
| Seamec Limited | 1,159 | 10 | 87.81 | 13.20 | 13.20 | 4.45 | 45,722 |
ABS Marine Services IPO Objective
The main objective of ABS Marine Services Limited is to fund offshore vessel acquisition and working capital requirements.
- Part funding of the equity portion for acquiring offshore vessels: The company intends to utilize INR 5500 lakhs of Net Proceeds to partially finance the acquisition of ships meeting size and quality criteria in FY 2024-25. Funding is based on internal estimates from a ship broker and market conditions.
- Funding the company’s working capital requirements: The company intends to allocate up to INR 2,500 lakhs from Net Proceeds to address working capital needs in FY 2024. Past financing from banks and internal accruals support the company’s significant working capital requirements.
- General corporate purposes: The company will balance funds towards general corporate goals, including strategic initiatives, partnerships, brand building, and general corporate exigencies.
ABS Marine Services Limited IPO Risks And Challenges
ABS Marine Services Limited’s risk includes exposure to regulatory compliance costs, tender pricing pressures, and onerous contract terms from reliance on PSU contracts. Aging vessels and market dynamics pose additional challenges in vessel acquisition and sales.
- The significant reliance on contracts with PSU customers exposes the company to various risks, including regulatory compliance costs, margin pressures from tender pricing, and onerous contract terms. Any adverse impact may affect financial performance.
- As their vessels age, maintenance costs rise, utilization rates may decline, and regulatory requirements may necessitate costly alterations. Unforeseen repairs or scrapping could adversely impact financial performance and operational efficiency.
- They rely on the secondary market for vessel acquisition, which is subject to factors like vessel availability, freight rates, and market dynamics. Challenges in selling older vessels may impact the capacity expansion and financial condition.
ABS Marine Services Ltd IPO – Industry & Market Potential
India’s robust economy, with a GDP of US$3.12 trillion, hosts over 100 unicorns valued at US$332.7 billion. Focus on renewable energy and job creation is crucial. Exports drive recovery, aiming for US$1 trillion in exports by 2030.
A maritime powerhouse, India boasts a strategic location and significant global market share in shipbreaking. Initiatives like Maritime India Vision 2030 aim for comprehensive development supported by fiscal incentives.
The Sagar Mala Program and Maritime India Vision drive port-led development with a $123 billion investment across 415 projects—major ports like Jawaharlal Nehru Port Trust and Deendayal Port lead cargo handling. Public-private partnerships facilitate ongoing projects worth $5 billion.
ABS Marine Services Limited IPO- Type of Offer
ABS Marine Services Limited’s IPO consists of a fresh issue of 67,00,000 lakh shares of INR worth INR 10 each, totaling 96.29 crores. The company aims to allocate funds to offshore vessel acquisition, working capital, and general corporate purposes.
ABS Marine Services IPO Offer Size
The offer size of ABS Marine Services Limited is 96.29 crores, consisting of a fresh 67,00,000 lakh shares. The company seeks funds for offshore vessel acquisition, working capital, and general corporate purposes.
ABS Marine Services Ltd IPO Allotment Structure
According to SEBI regulations, ABS Marine Services Limited’s allocation will be 50% for Qualified Institutional Buyers (QIB), 35% for Non-Institutional Investors (NII), and 15% for Retail Individual Investors (RII).
● Qualified Institutional Buyers (QIB): As per SEBI regulations, 50% of the shares offered through the IPO will be reserved for Qualified Institutional Buyers. These include entities such as banks, mutual funds, and insurance companies.
● Non-Institutional Investors (NII): 35% of the shares will be reserved for Non-Institutional Investors. These typically include corporate bodies or individuals investing more than Rs.2 lakhs.
● Retail Individual Investors (RII): The remaining 15% of the shares will be allotted to Retail Individual Investors. These individual investors apply for shares with a total value of less than Rs.2 lakhs.
How to apply for an ABS Marine Services Ltd IPO?
To apply for the ABS Marine Services Limited IPO through Alice Blue, you would typically follow these steps:
Open a Demat and Trading Account: If you don’t have one already, you must open a Demat and trading account with Alice Blue.
- Check for IPO Details: Once your account is active, you can check for the ABS Marine Services Limited IPO details in the IPO section of the Alice Blue platform.
- Place the Bid: Enter the number of shares you wish to buy and place your bid within the IPO’s price band.
- Submit the Application: Confirm all your details and submit your application.
You can apply for the ABS Marine Services Limited IPO at Alice Blue in just a few clicks!
Check Allotment Status: After the allotment process, you can check the allotment status to see if you have received any shares.
Please note that the allotment of shares is not guaranteed and will depend on the demand for the IPO.
How do you check ABS Marine Services Limited’s IPO Allotment Status?
Checking the allotment status of an IPO in Alice Blue is usually straightforward. Please follow these general steps:
- Log in to your Alice Blue Account: You can do this through the Alice Blue website or their trading app.
- Navigate to the Portfolio or IPO Section: This might differ based on the layout of Alice Blue’s platform, but generally, you can find the status of your IPO application under the ‘Portfolio’ or ‘IPO’ section.
- Find the IPO Allotment Status: Look for a sub-section called ‘IPO Allotment Status’ or something similar. This is where you can see the status of the IPOs you have applied for.
- Select the ABS Marine Services Limited IPO: If you have applied for multiple IPOs, there might be a dropdown menu or a list where you can select the IPO you are interested in. Select the ABS Marine Services Limited IPO.
- Check the Status: The status of your application should be displayed here. If the shares have been allocated to you, it would be mentioned here.
If you face any issues, it’s recommended that you contact Alice Blue’s customer support for detailed assistance.
Apart from Alice Blue, there are other ways to check the allotment status of the ABS Marine Services Limited IPO:
● Registrar’s Website: Visit the Purva Share Registry India Private Limited, the registrar of the ABS Marine Services Limited IPO. On the homepage, look for the ‘IPO Allotment Status’ option. You must enter your PAN, application, or Demat account number to check your allotment status. Click on the ‘Submit’ button to view your IPO allotment status.
● NSE SME: You can also check the allotment status on the official websites of the National Stock Exchange (NSE) Small Medium Enterprise (SME). You would need your application number and PAN to check the status.
Please note that the allotment status will only be available after completing the allotment process, a few days after the IPO window closes.
ABS Marine Services Limited Ltd IPO Offer Registrar
The registrar for the ABS Marine Services Limited IPO is Purva Share Registry India Private Limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
Contact information for the registrar:
9 Shiv Shakti India, Estt, J.R. Boricha Marg, Lower Parel,
Mumbai- 400011
Telephone: 022 4961 4132/3199 8810
Email Id: [email protected]
Website: www.purvashare.com
ABS Marine Services Limited IPO – FAQs
1. What is the allotment date of ABS Marine Services Limited?
The allotment date of the ABS Marine Services Limited IPO is May 16, 2024.
2. What is the price band of the ABS Marine Services Limited IPO?
The price band of the issue is INR 140-147 per share.
3. What is the size of the ABS Marine Services Limited IPO?
The offer size of ABS Marine Services Limited is 96.29 crores, consisting of a fresh 67,00,000 lakh shares. The company seeks funds for offshore vessel acquisition, working capital, and general corporate purposes.
4. What is the listing date of the ABS Marine Services Limited IPO?
The listing date of ABS Marine Services Limited’s IPO is May 21, 2024.
