EaseMyTrip Jumps 3.40% On Nod To Raise INR 234.03 Cr Via Preferential Issue

SUMMARY

EaseMyTrip’s board approved raising INR 234.03 Cr through the preferential issue of 12.84 Cr equity shares at INR 18.22 per share to seven investors, including Jeewani Hospitality and Jacqueline Fernandez.

The company reported a 42.8% drop in Q2 FY25 net profit to INR 26.8 Cr, with a 2.1% revenue increase to INR 144.6 Cr. Hotel business revenue grew 140%, offsetting a 22.5% decline in flight booking revenue.

Shares rose 3.40% to INR 17.33 following the announcement, though they remain 70% below the 52-week high

Online travel platform Easemytrip has secured board approval to raise INR 234.03 Cr from seven investors through a preferential issue of equity shares.

The board has approved the issuance of 12.84 Cr fully paid-up equity shares with issue price of INR 18.22/- per equity share, as per filing.

The allotment, subject to regulatory and stakeholder’s approval, includes equity allocation to three companies and four individual investors.

Among the investing companies, Jeewani Hospitality Private will receive 5.48 Cr shares worth INR 100 Cr.

While, Rollins International Private Limited will get 3.29 Cr shares valued at INR 60 Cr through non-cash consideration, Pflege Home Health Care Center L.L.C will receive 54.88 Lakh shares worth INR 10 Cr through non-cash consideration, the filing added.

EaseMyTrip will also allot 27.44 Lakh shares worth INR 5 Cr to individual investor Jacqueline Fernandez for cash consideration.

In terms of the other individual investors, Bhisham Sheoran will receive 1.08 Cr shares worth INR 19.83 Cr, Gagandeep Singh and Sanket Champaklal Shah will get 1.07 Cr shares each valued at INR 19.60 Cr through non-cash consideration.

Following this announcement, the shares of online travel platform EaseMyTrip rose as much as 3.40% to INR 17.33 on the BSE today (December 9)

At 11:02 AM, over 42.05 Mn shares changed hands on both exchanges. The company’s market capitalisation stood at INR 6,046.20 Cr.

The development comes as EaseMyTrip reported a 42.8% decline in net profit to INR 26.8 Cr in Q2 FY25 from INR 46.9 Cr in the year-ago quarter. Revenue increased 2.1% to INR 144.6 Cr from INR 141.6 Cr in the same period.

The company’s EBITDA stood at INR 42.3 Cr for Q2 FY25, while Gross Booking Revenue rose 2% to INR 2,075.6 Cr.

The company continues its diversification push through acquisitions. Last month, (November 2024) it announced plans to acquire a 49% stake in Planet Education Australia for INR 39.20 Cr and a 50% stake in Jeewani Hospitality for INR 100 Cr.

Revenue from its core flight booking business dropped 22.5% to INR 9.25 Cr in Q2 FY25 from INR 11.94 Cr a year ago. However, hotel business revenue surged 140% year-on-year to INR 32.6 Cr.