Melbourne-based logistics business, Silk Logistics Holdings, listed on the Australian Securities Exchange (ASX) earlier this month after completing a $70 million Initial Public Offering (IPO).
Silk Logistics Holdings Limited commenced trading on the ASX on 9 July 2021. The IPO of $70 million comprises a primary raise of $10 million and a secondary raise of $60 million to facilitate the partial equity sell-down of Silk’s longstanding financial partner and investor, Tor Investment Management.
At the time of the listing, the IPO received strong support from institutional and retail investors, achieving a market capitalisation of $151 million.
Silk provides three distinct services across two primary divisions. Port Logistics provides wharf cartage services while Contract Logistics offers warehousing and distribution services. Silk’s customer base spans several industries including FMCG, light industrial, food, specialised retail and containerised agriculture.
In financial year 2021, Silk expects to achieve a pro forma forecast EBIT of $17.8 million, while the 2022 financial year prospectus EBIT forecast is $20.9 million.
“Silk successfully blends its physical logistics capabilities with a cutting-edge data analytics technology platform,” said CEO and Managing Director, Brendan Boyd, who founded the company with Chief Customer Officer (CCO) and Executive Director, John Stood. “We are capable of providing predictive insights and supply chain visibility from wharf to warehouse to last mile. We have designed our technology platform and service delivery model to ensure it can consistently exceed our customers’ requirements through configurable systems that allow them to finetune their supply chains and control costs. We look forward to continued growth and delivering sustained financial performance for our shareholders.”
Silk’s Board includes experienced industrial and resources executive, Terry Sinclair, as Chairman and corporate advisory and M&A law partner, Stephen Moulton, as Non-Executive Director.