Future Supply Chain Solutions Ltd (FSC) is one of India’s largest organised third-party logistics service operators. It offers automated and IT-enabled warehousing, distribution and other logistics solutions to a wide range of customers. Company’s service offerings, warehousing infrastructure, pan-India distribution network, “hub-and-spoke” transportation model and automated technology systems support its competitive market position.
FSC’s customers operate in various sectors across India, including retail, fashion and apparel, automotive and engineering, food and beverage, fast moving consumer goods (“FMCG”), e-commerce, healthcare, electronics and technology, home and furniture and ATMs.
According to the management, its business model enables it to act as a service provider that can comprehensively cover customers’ supply chain needs. It currently operates with 14 hubs, 106 branches and dedicated containerized fleet of 526 vehicles. Its Mihan-Nagpur distribution center is the most modern and highly automated one. FSC provides services in three areas i.e. 1. Contract Logistics: warehousing, distribution and other value-added services; 2. Express Logistics: point-to-point, less-than truck-load, time-definite transportation services; and 3. Temperature-Controlled Logistics: cold-chain warehousing, transportation solutions and distribution of perishable products.
On one hand implementation of GST with “one nation – one tax” regime, logistics and warehousing scenario is going to change with major work being outsourced, on the other hand, logistics segment being tagged as infrastructure sector is going to bring more investments and expansion.
FSC being the first mover in this arena is going to benefit immensely going forward on both these counts. FSC is coming out with a maiden secondary IPO by way of offer for sale from existing stakeholders for providing partial exit as well as listing gains.
It is offering 9784570 equity shares of Rs. 10 each via book building route with a price band of Rs. 660-664 to mobilize Rs. 645.78 – Rs. 649.70 crore (based on lower and upper price bands). Issue opens on 06.12.17 and closes on 08.12.17.
