ixigo IPO: Shares Likely To List At 30% Premium Over Issue Price Of INR 93

Shares of Le Travenues Technology, which operates travel tech startup ixigo, will debut on the exchanges on Tuesday (June 18) and are expected to list with a 30% premium from its issue price of INR 93 apiece.

Ahead of the debut, the company’s shares fetched a premium of INR 29-30 in the unlisted market, reflecting a 31% premium over the issue price, Moneycontrol reported.

Based on current trends, analysts estimate the listing price of ixigo’s IPO to be around INR 120-125 per share, 32% higher than the issue price.

The Ixigo IPO, which included a fresh equity issue worth INR 120 Cr and an offer for sale (OFS) of 6.67 Cr shares, received a massive subscription of more than 98 times, driven by heavy bidding from non-institutional, institutional and retail investors.

Ahead of the IPO opening, the company raised INR 333 Cr from 23 anchor investors, including the likes of SBI Magnum Children’s Benefit Fund, the Government of Singapore, Tata Investment Corporation Limited, and Bajaj Allianz Life Insurance Company. 

Through its IPO, ixigo is looking to raise INR 740 Cr at the upper end of its price band of INR 88-93.

Founded in 2006, ixigo started as a travel search website to help users compare flight deals. In FY20, though, it remodeled as an online travel aggregator to offer services such as flights, trains, bus tickets, hotel bookings and holiday packages.

Le Travenues Technology Ltd, the parent company of ixigo, refiled its DRHP with SEBI in February. The travel tech startup got the market regulator’s nod to launch the public issue in May.

Within the first nine months of FY24, ixigo posted a PAT of INR 65.7 Cr, a nearly 3X jump from INR 23.3 Cr it had posted during the entire FY23. Meanwhile, revenue from operations stood at INR 491 Cr during the first nine months of FY24.