Ixigo Set to launch ₹740 Crore IPO on June 10: A Promising Investment Opportunity
Ixigo Launches IPO: Details and Key Highlights:
Ahmedabad, June 6: Le Travenues Technology Ltd. (LTTL), known for its popular brand Ixigo, is set to launch its Initial Public Offering (IPO) on June 10, 2024. The IPO will have a price band of ₹88 to ₹93 per share, with a three-day subscription period ending on June 12, 2024. Investors can participate in the IPO with a minimum investment of ₹14,973 for 161 shares.
Company Overview:
Founded in 2006 by Aloke Bajpai and Rajnish Kumar, Ixigo is a technology-driven online travel agency (OTA) providing comprehensive travel solutions, including bookings for trains, flights, buses, and hotels. The company utilizes artificial intelligence to offer value-added services such as PNR status updates, seat availability, delay predictions, and more, ensuring a seamless travel experience for its users.
Leadership Insights:
Aloke Bajpai, Chairman, Managing Director, and Group CEO, emphasized the company’s success attributes, stating, “We consider the entrepreneurial culture and flat organisational structure as factors in the success, and in containing their operating expenses, while maintaining its growth. We have a team of 500 and most of us are tech professionals.”
Rajnish Kumar, Group Co-CEO, elaborated on the IPO specifics: “We are coming out with our maiden combo IPO of fresh equity shares issue worth Rs. 120 cr. (approx. 12903184 shares) at the upper cap, and an offer for sale (OFS) of 66677674 shares (worth Rs. 620.10 cr. at the upper cap). Thus the overall size of the IPO will be 79580858 shares worth Rs. 740.10 cr.”
Saurabh Devendra Singh, an alumnus of IIM Ahmedabad, serves as the Group’s Chief Financial Officer (CFO). He oversees the financial activities and planning of the group. Mrinali Doshi, representing Dam Capital Advisors, highlighted the financial strength of the Ixigo group.
IPO Details:
Launch Date: June 10, 2024
Subscription Period: June 10 to June 12, 2024
Price Band: ₹88-₹93 per share
Minimum Investment: ₹14,973 for 161 shares
Issue Composition: Fresh issue of 1.29 crore shares and an offer for sale of 6.67 crore shares
Allocation:
75% for Qualified Institutional Buyers (QIBs)
15% for High Net-worth Individuals (HNIs)
10% for Retail investors
Listing: Shares will be listed on BSE and NSE
Financial and Strategic Allocation
The IPO’s total size is 79,580,858 shares worth ₹740.10 crore. The funds raised will be allocated as follows:
₹45 crore for working capital
₹25.80 crore for investment in technology and data science
The remaining amount for inorganic growth and general corporate purposes
Key Shareholders in OFS:
The Offer for Sale (OFS) includes shares from prominent stakeholders:
Elevation Capital (formerly SAIF Partners)
Peak XV Partners
Co-founders Aloke Bajpai and Rajnish Kumar
Micromax Informatics
Placid Holdings
Madison India Capital
Key Highlights:
Growth Trajectory: Post-pandemic recovery with promising future prospects.
Strong Leadership: IIT Kanpur alumni Aloke Bajpai and Rajnish Kumar lead a tech-savvy team.
Innovative Services: AI-driven travel planning enhances user experience.
Strategic Use of Funds: Proceeds to support working capital, technology advancements, and acquisitions.
Attractive Investment: The IPO is fully priced based on annualized FY24 earnings, appealing to long-term investors.
Ixigo’s IPO offers a significant investment opportunity, reflecting the company’s robust growth, innovative services, and strategic financial planning. The IPO opens on June 10, inviting investors to be part of Ixigo’s promising journey.
Disclaimer: Investors must thoroughly study the company profile and details before investing.
