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Shreeji Shipping IPO Grey Market Premium (GMP) Today
According to the latest update on Thursday, Shreeji Shipping’s IPO is trading at a grey market premium (GMP) of Rs 27, suggesting a potential listing price of around Rs 279 —approximately 11% above the issue price. While the GMP indicates positive investor sentiment, it is an unofficial measure and should not be considered a guaranteed prediction of the listing price, as it can change before the stock’s official debut.
Shreeji Shipping Global Subscription Status:
By Day 3, at 10:10 am, the IPO had achieved a total subscription of 7.55 times. Retail Individual Investors (RIIs) subscribed to 7.9 times their allocated quota of 57.04 lakh shares. Non-Institutional Investors (NIIs) demonstrated strong demand, subscribing 14.7 times the 24.44 lakh shares set aside for them. Qualified Institutional Buyers (QIBs) placed bids amounting to 2.4 times the 32.59 lakh shares allotted to their category.
Shreeji Shipping Global IPO Price Band and Other Details
Shreeji Shipping Global, a growing player in dry bulk cargo logistics, IPO valued at Rs 411 crore, with a price band between Rs 240 and Rs 252 per share. The company’s shares are expected to begin trading on stock exchanges on August 26.
This IPO is a pure fresh issue, offering 1.63 crore equity shares with no offer-for-sale (OFS) portion, meaning all the proceeds will go directly to the company. At the upper price band, Shreeji Shipping aims to raise the full Rs 411 crore.
The issue is allocated with 50% reserved for Qualified Institutional Buyers (QIBs), 35% for retail investors, and the remaining 15% for Non-Institutional Investors (NIIs).
Purpose of the Issue
Shreeji intends to use Rs 251.2 crore to purchase Supramax-category dry bulk carriers from the secondary market, a strategic effort to grow its fleet and enhance operational capacity. Furthermore, Rs 23 crore will be allocated for debt repayment to reinforce the company’s balance sheet.
Financial Highlights
For the financial year ending March 31, 2025, Shreeji Shipping Global reported revenues of Rs 610 crore, marking a 17% decline compared to Rs 736.17 crore in FY24.
Despite the drop in revenue, profitability improved notably, with Profit After Tax (PAT) increasing by 13.4% to Rs 141 crore in FY25 from Rs 124 crore in FY24. EBITDA also experienced a slight rise of 1.4%, reaching Rs 200 crore in FY25 versus Rs 197.89 crore the previous year, indicating strong operational efficiency despite lower top-line figures.
Company Overview and Market Outlook
Headquartered in Jamnagar, Gujarat, Shreeji Shipping Global is the flagship company of the Shreeji Group, primarily operating along India’s west coast with a strategic emphasis on non-major ports and private jetties.
A report by Dun & Bradstreet projects India’s port cargo volume to grow at a CAGR of 10.8%, rising from 1,540 million metric tonnes (MMT) in FY24 to 2,849 MMT by FY30. Gujarat’s ports are expected to surpass this growth rate, expanding at 17.5% annually and nearly doubling cargo volume from 317.2 MMT in FY24 to 720 MMT by FY30.
With 12 major ports and 217 minor ports along India’s extensive 7,500-km coastline, the country presents significant opportunities—especially for companies like Shreeji that focus on the 78 active non-major ports handling cargo.
Beeline Capital Advisors Pvt Ltd and Elara Capital (India) Pvt Ltd are the book-running lead managers for this IPO.
Should you subscribe?
Anand Rathi’s research report highlights Shreeji Shipping Global Limited as a prominent and well-established player in the integrated shipping and logistics sector in India.
Over time, Shreeji Shipping has built a strong foothold in cargo handling operations, with a particular focus on the dry bulk cargo segment, according to the brokerage firm. Its operational capabilities are further strengthened by the ownership and management of its own fleet, which significantly enhances the company’s reliability, efficiency, and overall service quality for its customers.
At the upper price band, the company is valued at a price-to-earnings (P/E) ratio of 28.5 times based on its FY25 earnings. Additionally, its enterprise value to EBITDA (EV/EBITDA) stands at 21.4 times, with a market capitalisation of Rs 41,055 million following the issuance of equity shares. Given these valuations, the IPO appears fully priced. Therefore, Anand Rathi recommends a “Subscribe – Long Term” rating for investors considering this offering.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
