LEAP India lists at 4% premium on debut; Technocraft Ventures surges 34% on NSE

Two listings this morning and two very different pictures. While one stock made a splash at debut, the other one saw a significantly quieter entry.

LEAP India has listed at Rs 165.90 on the NSE, which is a premium of 4.34% from the issue price. The stock has listed at Rs 166 on the BSE, up 4.4%. Meanwhile, Technocraft Ventures also listed on the bourses. The stock made a strong debut with a 34% premium, listing at Rs 284 on the NSE.

The KKR-backed company set the issue price at Rs 159 per equity share.

The company opened its IPO bidding on August 07. The company raised Rs 2,480 crore through a book-building issue. The IPO consisted of two components: 3.02 crore shares of Rs 480 crore and 12.58 crore offer for sale (OFS) shares worth Rs 2,000 crore.

The share price of LEAP India was trading at a premium of 8%, changing hands at Rs 172 in the grey market ahead of the listing. This indicates that a lot could potentially yield a profit of Rs 1,222.

JM Financial is working as the lead book-running manager of the issue, and MUFG Intime India is the registrar of the IPO.

LEAP India specialises in sustainable supply chain and asset-pooling solutions. Incorporated in 2013, it offers services including equipment pooling, returnable packaging, inventory management, transportation, and repair & maintenance across industries like e-commerce, FMCG, automotive, and consumer durables. Global investment firm KKR acquired a majority stake in LEAP India in 2023, aligning with its Asia infrastructure strategy.

Anand Rathi Research in an IPO note at the time of subscription stated that, “At the upper end of the price band, the company is valued at a P/E of 113.6x FY26 earnings, EV-to-EBITDA of 21.8x, and P/BV of 6.9x, implying a post-issue market capitalisation of Rs 7,004.5 crore.”

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, we recommend a ‘Subscribe – Long Term’ rating to the IPO,” the brokerage added.