Skyways Air Services Shares Make Tepid Debut, Stock Lists With 10% Discount

Skyways Air Services listed on the NSE and the BSE on September 1. On the BSE, the logistics and freight forwarding company's shares listed at Rs 124.5 per share, with a discount of 9.78 per cent over the upper end of the price band of Rs 138 apiece on the exchanges. On the NSE, the stock made its debut at Rs 124.5 apiece, with a discount of 10.14 per cent over the issue price.

Skyways Air Services IPO: Listing Day Loss

Applicants who were successfully allotted a minimum of one lot or 100 shares of Skyways Air Services would have made a loss of around Rs 1400 [(Rs 138- Rs 124) x 100] after the stock listed on the exchanges. The company's market capitalisation stood at Rs 1,824.79 crore after listing, and 7.64 lakh shares of the company changed hands.

Skyways Air Services IPO: Offer Size

The initial public offering (IPO) of Skyways Air Services was a book-built issue worth Rs 582.80 crore and consisted of a fresh issue of 28.90 million shares worth Rs 398.80 crore and an offer for sale (OFS) of 13.33 million shares amounting to Rs 184 crore. The price band for the public issue was fixed at Rs 131-138 per share. The minimum lot size for retail investors was fixed at 100 shares, aggregating to an investment of Rs 13,800.

Skyways Air Services IPO: Subscription

Skyways Air Services IPO saw strong demand and was oversubscribed 71.25 times during its subscription period from August 24-27. Investors across categories placed bids for 2.10 billion shares compared to the net offer size of 29.58 million shares available after anchor allocations.

The non-institutional investors (NII) booked their quota in the Skyways Air Services IPO 87.24 times. Retail investors booked their quota 25.40 times, while the qualified institutional buyers (QIB) quota was subscribed 139.69 times.

Skyways Air Services: Promoters

The promoters of the company diluted a portion of their stakes through the OFS. Following the listing of the stock, the promoter shareholding reduced to 56.82 per cent after the stock listed from 79.14 per cent prior to the public issue.

Skyways Air Services: Competitors

Skyways Air Services operates within a highly competitive logistics and freight forwarding market. The company’s listed peers in the domestic market include Delhivery, TVS Supply Chain Solutions, Mahindra Logistics, and Blue Dart Express.

Skyways Air Services IPO: Objective

The company will use Rs 216.79 crore from the fresh issue for the full or partial repayment or pre-payment of certain outstanding borrowings taken by the company and its subsidiary, and will use Rs 130.00 crore for funding incremental working capital requirements, with the remaining proceeds allocated for general corporate purposes.

At the time of writing, shares of Skyways Air Services were trading at Rs 130.80 apiece on the BSE, up by 5.06 per cent compared to the listing price. On the NSE, the stock traded at Rs 131.6 apiece, up by 6.3 per cent compared to the listing price.