The initial public offering (IPO) of Le Travenues Technology, the parent company of travel booking platform ixigo, has garnered significant attention and interest from investors. The IPO, with the objective of raising INR 740 crore, saw a remarkable level of subscription, reaching 98.10 times the offering size on the closing day of the subscription.
Data from the National Stock Exchange (NSE) indicates that the IPO received bids for 4,29,36,34,618 shares against the 4,37,69,494 shares on offer. This strong subscription level signifies considerable investor confidence in the company’s future prospects.
The IPO comprises a fresh issue of up to INR 120 crore and an offer for sale (OFS) of up to 6,66,77,674 equity shares. The proceeds from the fresh issue, amounting to INR 45 crore, will be allocated towards funding the company’s working capital requirements, as well as investments in technology, data science, cloud and server hosting, artificial intelligence, customer engagement, and potential acquisitions. Furthermore, the funds raised will also be utilized for general corporate purposes.
With the offer price set at INR 88-93 per share, there is a positive outlook on the company’s valuation. Le Travenues Technology also successfully secured INR 333 crore from anchor investors, demonstrating strong institutional support for the IPO.
The overwhelming response to Le Travenues Technology’s IPO speaks to the company’s prominent position as a leading online travel aggregator in India. Founded in 2007 by Aloke Bajpai and Rajnish Kumar, ixigo has played a pivotal role in assisting travellers in planning, booking, and managing their trips across various modes of transportation and accommodation.
The subscription numbers for the IPO reflect broad interest from various investor categories. The non-institutional investors’ quota was oversubscribed by 110.25 times, while the portion for Qualified Institutional Buyers (QIBs) garnered a subscription of 106.73 times. Retail Individual Investors (RIIs) also displayed significant interest, with a subscription rate of 53.95 times.
The IPO is under the management of Axis Capital, DAM Capital Advisors, and JM Financial, each of which has played a pivotal role in facilitating the offering to investors.
In conclusion, the remarkable response to Le Travenues Technology’s IPO highlights investors’ confidence in the company’s growth potential and its position in the online travel aggregation industry. With strong capital infusion and a robust investor base, the company is well-positioned for a promising future in the ever-evolving travel and technology landscape. We invite you to share your thoughts in the comments section below.