BlackBuck Shares Jump 19% To Hit An All-Time High At INR 381.85

Shares of Zinka Logistics Solutions, the parent company of logistics major BlackBuck, rallied over 19% today (December 4) to hit an all-time high of INR 381.85 apiece on the BSE amid heavy trading volumes.

However, the stock shed some of the gains later and was trading 12.89% higher at INR 361.15 on the BSE at 3:46 PM.

More than 60 Lakh equity shares worth INR 219.4 Cr cumulatively changed hands on the BSE and NSE.

BlackBuck shares have rallied almost 26% since the logistics major made its stock market debut on November 22. Further, the stock is up over 28% from its IPO issue price. The stock listed at INR 279.05 on the BSE against the IPO issue price of INR 273. 

At the time of writing, the company’s market capitalisation stood at INR 6,194.40 Cr ($731.1 Mn). It is pertinent to note that he company had set a IPO valuation of INR 4,800 Cr — a steep 32% discount over its peak valuation of INR 7,100 Cr in 2021.

Founded in 2015 by Rajesh Yabaji, Chanakya Hridaya and Rama Subramaniam, BlackBuck commenced operations as a truck aggregator. Since then, the company has diversified and now offers a full stack of solutions – from load management and telematics to payments for fuel, FASTag or toll charges, and truck financing. 

The Flikart-backed company operates a B2B marketplace specialising in inter-city full truckload (FTL) transportation. 

The company made its Dalal Street debut last month amid a surge in IPOs by new-age tech companies. BlackBuck’s IPO was a combination of fresh issuance of shares worth INR 550 Cr and an offer for sale (OFS) component of more than 2.06 Cr shares. 

The issue received a lukewarm response from investors, and was subscribed only 1.86 times.

Early backers of BlackBuck – Accel and Flipkart – made gains of up to 5X by divesting some shares in the offer for sale of its IPO. On the other hand, the likes of Peak XV Partners and Swedish investment firm VEF AB booked losses via partial stake sales.  

BlackBuck posted a net profit of INR 28.67 Cr in the June quarter of the financial year 2024-25 (Q1 FY25) on the back of strong growth in its revenue and sharp reduction in its overall expenses.

The logistics giant had reported a net loss of INR 35.93 Cr in the corresponding quarter last year.

Revenue from operations jumped nearly 55% to INR 92.16 Cr in the reported quarter from INR 59.46 Cr in the same quarter last year.