FabHotels Parent Travelstack Files DRHP For IPO

Travelstack Tech, the parent of hotels-focused corporate management provider TravelPlus and budget hotel chain Fabhotels, has filed its draft red herring prospectus with the Securities and Exchange Board of India (SEBI). 

The travel tech company’s proposed IPO will comprise a fresh issue of shares worth up to INR 250 Cr and an offer-for-sale (OFS) component of up to 2.69 Cr shares. The OFS would see the following investors offload shares: 

• Accel India will sell 67.16 Lakh shares.
• Goldman Sachs will offload 32.84 Lakh shares through two of its private equity funds. 
• Panthera Growth Partners will sell 66.69 Lakh shares through three of its holding entities.
• Qualcomm intends to offload 37.73 Lakh shares.
• Shaadi.com founder Anupam Mittal will sell 10.38 Lakh shares. 
• Founders and promoters Adarssh Mnpuria and Vaibhav Aggarwal plan to sell 17.91 Lakh and 35.82 Lakh shares, respectively.

The company intends to utilise the INR 250 Cr raised via the fresh issue to fund working capital requirements, repay/ prepay certain borrowings and for general corporate purposes. 

A Look At Travelstack’s Business

Travelstack operates TravelPlus, which provides enterprises a platform to enable them to book travel, manage approvals, process expenses, and receive comprehensive support throughout the travel lifecycle for their employees. 

While hotels is its primary focus business, the company also provides travel solutions for flights, ground transportation and MICE via the platform. 

It counts the likes of Eternal, Infra.Market, Zepto, Titan Company, and UnifyApps among its clients.  As of September 30, 2025, over 100 active enterprise clients have embedded their corporate travel policies on TravelPlus, covering over 1.2 Lakh employees across these organisations. 

TravelPlus was founded by the cofounders of FabHotels Adarsh Mnpuria and Vaibhav Aggarwal in 2020. The rationale behind the launch of the travel-focussed SaaS platform was to leverage the supply-side expertise gained from managing FabHotels since 2015, according to the DRHP. 

For context, FabHotels is a budget hotel chain that provides standardised, affordable stay options. As of September 30, 2025, Travelstack operated 1,379 properties under the FabHotels banner and the recently introduced value segment hotel brand Via. 

“To serve distinct customer groups and optimise inventory within this segment, we maintain a strategic asset light private-label portfolio comprising FabHotels and Via brands (the latter introduced in September 2025), which cumulatively included 1,379 onboarded properties as of September 30, 2025,” the DRHP said. 

Travelstack’s Financial Performance

On the financial front, the travel tech company turned profitable ahead of filing its DRHP. It reported a net profit of INR 32.2 Cr in the six months ended September 30, 2025 (H1 FY26). It posted an operating revenue of INR 400.4 Cr for the period, while total expenses stood at INR 409.6 Cr. 

The company would have posted a loss during the period if not for a deferred tax gain of INR 37.4 Cr. 

In FY25, Travelstack managed to trim its net loss by 95% to INR 6.3 Cr from INR 114.1 Cr in the previous fiscal year. Operating revenue for the period surged 31% to INR 716.4 Cr from INR 547.8 Cr in FY24.  

At INR 712.6 Cr, a majority of the revenue came from accommodation and packages segment in FY25.