- LEAP India IPO opens August 7 and closes August 11 with price band Rs 151-159 per share
- Company aims to raise Rs 2,480 crore via fresh issue and offer-for-sale components
- LEAP India leads pallet pooling in supply chain with 90% market share and 14.7 million assets
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Anand Rathi Report
Here are the 10 things to know before investing
1. IPO Opening & Closing Dates
LEAP India IPO opens for subscription today, August 7, and will close on August 11.
2. Price band
The price band has been fixed at Rs 151-159 per share, while investors can bid for a minimum of 94 shares in one lot.
3.IPO Size
The company aims to raise Rs 2,480 crore through the IPO, comprising a fresh issue of Rs 480 crore and an offer-for-sale (OFS) of Rs 2,000 crore.
4. BRLM
JM Financial, Avendus Capital, IIFL Capital Services and UBS Securities India are the book-running lead managers to the issue, while MUFG Intime India is the registrar.
5. Object of the Issue
The company plans to use proceeds from the fresh issue for:
Repayment/prepayment of certain borrowings
General corporate purposes.
6.What Does the Company Do?
LEAP India Ltd. is India's largest on-demand asset pooling provider in the supply chain management sector. Operates pallet pooling, container pooling and material handling equipment (MHE) leasing businesses. Has 14.7 million pooled assets, over 10,100 customer touchpoints, 29 fulfilment centres, and more than 1,000 customers across FMCG, automotive, logistics, e-commerce and industrial sectors.
7. Competitive Strengths
- Holds about 90% market share in India's pallet pooling business.
- Industry-leading network with high barriers to entry.
- Acquired CHEP India in January 2025, strengthening leadership in container pooling.
- Long-term contracts, low customer churn and technology-led operations create a strong moat.
8. Key Risks
- Aggressive valuation relative to ROE of about 6.2%.
- Dependence on pallet pooling business for a large share of revenue.
- Raw material price volatility and customer concentration risks.
- Execution risks in maintaining high growth and profitability.
9. Growth Drivers
- Shift to Asset-Light Models through MHE Pooling
- Warehouse Modernization and Growth of Palletized Storage
- Operational and Financial Efficiency through Pooling
- Reduced Insurance and Administrative Burden:
- Government Push for Infrastructure and Logistics Reform.
10.Valuation
At the upper end of the price band, the company is valued at a P/E of 113.6x FY26 earnings, EV/EBITDA of 21.8x, and P/BV of 6.9x, implying a post-issue
market capitalisation of Rs 70,045 million. While LEAP India is well-positioned to benefit from increasing adoption of asset pooling solutions, supply chain formalisation, and its international expansion strategy, the issue appears aggressively priced considering its ROE of 6.19%. Hence, Anand Rathi recommends a "Subscribe – Long Term" rating to the IPO.
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