Landmark Cars Limited’s IPO To Open On December 13

Landmark Cars Limited, a premium automotive retail business in India with dealerships for Mercedes-Benz, Honda, Jeep, Volkswagen, and Renault has fixed the price band at Rs. 481 to Rs. 506 per equity share for its initial public offer. The IPO of the company will open on December 13, 2022, for subscription and will close on December 15. Investors can bid for a minimum of 29 equity shares and in multiples of 29 equity shares thereafter. Group Landmark has a presence across the automotive retail value chain, which includes the sale of new vehicles (passenger as well as commercial), after-sales service and repairs and sales of pre-owned passenger vehicles.

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The public issue of equity shares bearing a face value of Rs. 5 comprises a fresh issue of equity shares aggregating to Rs. 150 crore and an offer for sale (OFS) of up to Rs. 402 crore by existing shareholders. Axis Capital Limited and ICICI Securities Limited are the book-running lead managers and Link Intime India Private Limited is the registrar of the offer. The equity shares are proposed to be listed on BSE Limited and the National Stock Exchange of India Limited.

According to the data revealed by the company, the floor price is 96.20 times the face value of the equity share and the cap price is 101.20 times the face value of the equity share. A discount of Rs. 48 per equity share is being offered to eligible employees bidding in the employee reservation portion.

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Moreover, the company also revealed that it has a significant influence on, and restrictions imposed by OEMs pursuant to the terms of dealership or agency agreements. Its dealership agreements with Honda, Volkswagen, Jeep, Renault and Ashok Leyland and its agency agreement with Mercedes-Benz expires within the next three years, while the contribution to the total revenue from the sale of cars during the three months ended June 30, 2022, and FY 2022 was 77.77 per cent and 77.40 per cent respectively.