Mumbai’s Om Freight Forwarders Ltd., born in 1995 and raised on chai, customs clearance, and cargo chaos, is finally hitting Dalal Street with a ₹122.3 crore IPO. Market cap lands at ₹454.6 crore. Issue split: ₹24.4 crore fresh funds (for more trucks and cranes) + ₹97.9 crore promoter cash-out. Price band: ₹128–135, lot size: 111 shares (₹14,985 retail entry fee). Promoters currently hold 99% and will slide to 72% post-issue. Financially, FY25 revenue touched ₹494 crore (+17% YoY) with PAT of ₹22 crore (+113% YoY). Margins are thin (PAT margin 4.5%), but better than last year’s comedy. So, is this “legacy logistics ka renaissance” or just a seasoned uncle cashing out before GST officers find missing paperwork?
2. Introduction
Om Freight is not your new-age, app-based “we’ll deliver your pizza before it cools” type of logistics company. This is an old-timer — incorporated in 1995, survived multiple shipping recessions, customs reforms, and demonetization. They’ve seen India move from typewriters to AI.
Their IPO is tiny compared to Glottis-style fresh startups, but the credibility comes from four decades of client servicing across 700+ locations in 5 continents. Translation: “Humne duniya ghoom liya hai, ab aapka paisa ghoomayenge.”
The company brags about handling 66.86 million metric tons of cargo in FY25. They also own 135 commercial vehicles (not Excel ke trucks, actual trucks). Plus, they are members of IATA, FIATA, WCA, GLPN — basically every three-letter logistics club that gives you certificates to hang in the office.
But IPO math? Out of ₹122 crore, only ₹17 crore is for buying equipment. The rest? Promoters exiting stage left.
3. Business Model – WTF Do They Even Do?
Om Freight is the logistics uncle who can arrange everything:
Freight forwarding: Ships, planes, containers, even barges if client insists.
Project & charter services: Hire aircraft or vessels like Uber Premium for cargo.
Domestic transport: Road, rail, coastal shipping.
Warehousing & distribution: Inventory management and bonded trucking.
Specials: Cross-trade, trans-shipping, post-shipment paperwork — aka the headache zone.
Essentially: If it can move, Om Freight will move it. Their selling point is “end-to-end,” but so is everyone else in this industry. Their real edge is decades-old client trust and operational credibility.
4. Financials Overview
Metric
FY25
FY24
FY23
YoY %
2Yr %
Revenue
₹494.05 cr
₹421.32 cr
₹493.35 cr
+17%
Flat
EBITDA
₹37.71 cr
₹11.96 cr
₹33.33 cr
+216%
+13%
PAT
₹21.99 cr
₹10.35 cr
₹27.16 cr
+113%
-19%
EPS (₹)
6.90 pre / 6.53 post
3.24
8.53
+113%
Shrunk
Commentary: FY24 looked like Om Freight forgot how to make money. FY25 — dramatic turnaround. PAT doubled, EBITDA margin improved. But FY23 PAT (₹27 cr) was higher than FY25. So, is this consistency or stock market window dressing?
5. Valuation Discussion – Fair Value Range
(i) P/E Method:
EPS post-issue = ₹6.53.
At ₹135, P/E = 20.7x. Peers like Allcargo trade at 18x, Mahindra Logistics 40x. Fair range via P/E = 16x–22x = ₹105–₹145.
(ii) EV/EBITDA Method:
EBITDA = ₹37.7 cr.
Market cap = ₹454.6 cr.
Debt = ₹27 cr → EV ≈ ₹482 cr.
EV/EBITDA = 12.8x. Peers hover 10–15x. Fair range = ₹110–₹140.
(iii) DCF Quick Math: Assume 10–12% revenue growth, margins stable, terminal 4–5%. Fair range clusters at ₹115–₹135.
👉 Overall Fair Value Range = ₹105–₹145 per share. (Disclaimer: Educational purpose only, not investment advice.)
6. What’s Cooking – News, Triggers, Drama
Promoters cashing out ₹98 crore. Fresh money barely ₹24 crore. Is this an IPO or retirement planning?
