Ixigo shares make stellar market debut, open at 48.5% premium
What's the story
Le Travenues Technology, the parent company of 'Ixigo,' has made a strong debut on the NSE and BSE today.
The shares opened at ₹138.10 on NSE and ₹135 on BSE, marking a significant increase from the issue price of ₹93. This represents a premium of 48.5% and 45.16%, respectively.
The three-day bidding period for the Ixigo IPO saw an enthusiastic response from investors, with a subscription status of 98.34 times on the final day of bidding.
About the company
Ixigo's journey and IPO details
Le Travenues Technology, founded by Aloke Bajpai and Rajnish Kumar in 2007, operates the travel booking site Ixigo.
It is one of India's leading online travel aggregators, assisting travelers in planning, booking, and managing their journeys by rail, plane, bus, and hotel..
The IPO offer price was set between ₹88 and ₹93 per share and Le Travenues Technology reported that it obtained ₹333 crore from key investors.
Financial details
Ixigo IPO's use of funds and grey market premium
The Ixigo IPO combines a fresh issuance of equity shares worth ₹120 crore with an offer for sale (OFS) of 6.66 crore equity shares worth ₹620 crore by existing shareholders at the top of the price range.
The proceeds from this new offering will be used to meet the company's working capital needs, with ₹26 crore allocated for technology enhancements.
The remaining capital will be used for inorganic growth through acquisitions and overall corporate goals.