Landmark Cars IPO | Review

Landmark Cars Limited has come up with an initial public offer (IPO). It will open on December 13-15 at Rs.481-506 a share. The IPO issue size is around Rs.552.00 crores. The minimum bid will be for 29 shares and in its multiples thereafter.

Overview

Landmark Cars Limited was incorporated in the year 1998. It is a leading premium automotive retail business in India with dealerships for Mercedes-Benz, Honda, Jeep, Volkswagen and Renault. Also, it has a commercial vehicle dealership with Ashok Leyland in India. The company has a presence across the automotive retail value chain, including sales of new vehicles, after-sales service and repairs, sales of pre-owned passenger vehicles and facilitation of the sales of third-party financial and insurance products.

Landmark Ltd started its operations and opened its first dealership for Honda in CY1998, It has expanded its network to 112 outlets in 8 Indian states and union territories, comprised of 59 sales showrooms and outlets and 53 after-sales services and spares outlets. Moreover, it is focused on the premium and luxury automotive segments. It is the number one dealer in India for Mercedes in terms of retail sales for Honda and Jeep in terms of wholesale sales.

The company’s vehicle dealership network is spread across 32 cities in eight states and union territories including Maharashtra, Uttar Pradesh, Gujarat, Haryana, Madhya Pradesh, Punjab, West Bengal and the National Capital Territory of Delhi. These states and union territories constituted approximately 51% of Indian vehicle demand in Fiscal 2022.

Website – https://www.grouplandmark.in/

Promoters

Sanjay Karsandas Thakker – 41.38%

Promoter Group – 18.86%

Promoter Holding

Pre-Issue Shareholding – 60.24%

Post-Issue Shareholding – 44.61%

Strength & Weakness

Strengths	Weaknesses
Leading automotive dealership for major OEMs	Concentrated in the states of Gujarat and Maharashtra
Strong focus on high-growth segments	Subject to various governmental laws and regulations
Growing presence in the after-sales segment	Subject to the significant influence of OEMs
Comprehensive business model	Sensitive automotive retail industry
Technological innovation and digitalization	Increasing competition among automotive dealerships
Profitable and improving balance sheet	Dependent upon financial stability of the OEMs
Experienced Promoter and professional management team	Success depends upon management team
Focusing on high-growth segments and brands	Outstanding legal proceedings toward Company

Objects of Issue

1) The proceeds of the Offer for Sale shall be received by the Selling Shareholders

2) Pre-payment, in full or in part, of borrowings availed by our Subsidiaries

3) General corporate purposes

Landmark Cars IPO Lot Size

Application	Lot	Shares	Amount
Retail (Min)	1	29	Rs.14,674
Retail (Max)	13	377	Rs.1,90,762
S-HNI (Min)	14	406	Rs.2,05,436
B-HNI (Max)	69	2,001	Rs.10,12,506

Landmark Cars IPO Details

IPO Opening Date	December 13, 2022
IPO Closing Date	December 15, 2022
Face Value	Rs.5 per Equity Share
IPO Price	Rs.481-506 per share
Market Lot	29 shares
Minimum Order Quantity	29 shares
Listing At	NSE, BSE
No. of shares offered (Fresh Issue)	29,64,427 shares
No. of shares offered (OFS)	79,44,664 shares
Issue Size	Up to Rs.552.00 Crore
QIB Shares Offered	50% of the offer
Retail Shares Offered	35% of the offer
NII/HNI Shares Offered	15% of the offer

Landmark Cars IPO Timetable

IPO Date	December 13-15, 2022
Allotment Date	December 20, 2022
Initiation of Refunds	December 21, 2022
Credit of share to Demat a/c	December 22, 2022
IPO Listing Date	December 23, 2022

Landmark Cars IPO GMP

The current GMP is around Rs.30

Allotment Status

Link Intime – https://linkintime.co.in/

Book Lead Managers

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