Ahead of its debut on June 10, ixigo’s IPO has garnered ₹333 crore from anchor investors, with major backers including Nomura, Morgan Stanley, and HDFC MF. The subscription period for Le Travenues Technology’s IPO will conclude on June 12.

Key investors participating in ixigo IPO’s anchor book include Nomura, Morgan Stanley, 3P India Equity Fund, HDFC MF, Motilal Oswal MF, the Government of Singapore, and Tata Investment Corporation. In an exchange filing on June 7, the company stated that it, in consultation with Book Running Lead Managers Axis Capital Limited, DAM Capital Advisors Limited, and JM Financial Limited, has finalized the allocation of 35,811,405 equity shares to anchor investors at ₹93 per equity share.

Before the anchor book opened, ixigo’s IPO had already disclosed pre-IPO secondary placements worth approximately ₹176.2 crore at the upper end of the price range. Out of the total allocation of 35,811,405 equity shares to anchor investors, domestic mutual funds secured 33.75% (12,087,583 equity shares) through seven schemes including SBI Magnum Children’s Benefit Fund, HDFC Mutual Fund, Whiteoak Capital Flexi Cap Fund, and Motilal Oswal Large Cap Fund.

ixigo operates as a digital platform facilitating Indian travelers in planning, booking, and managing their journeys across various modes of transport and accommodation. Utilizing artificial intelligence, machine learning, and data science, ixigo aids travelers in making informed travel decisions through its OTA platforms.

Ixigo offers a comprehensive range of travel booking services, including train, flight, and bus ticket reservations, along with hotel bookings. Additionally, users can access utility tools like train PNR status checks and confirmation predictions, alerts for train seat availability, updates on train running status and delay predictions, bus running status information, personalized recommendations, instant fare alerts, and automated customer support.

The Gurugram-based ixigo IPO comprises a new issue of equity shares valued at ₹120 crore and an Offer For Sale (OFS) of 6.66 crore equity shares worth ₹620 crore by existing shareholders at the upper end of the price band, resulting in a total public offering of ₹740 crore.

Proceeds from the fresh issue, amounting to ₹45 crore, will be allocated towards the company’s working capital requirements, while ₹26 crore will be earmarked for investments in technology and data science initiatives such as cloud and server hosting, artificial intelligence, and customer engagement. Additionally, funds will be allocated for potential inorganic expansion through acquisitions and to support general business objectives.

Axis Capital Limited, Dam Capital Advisors Ltd (formerly Idfc Securities Ltd), and JM Financial Limited are the book running lead managers for the ixigo IPO, while Link Intime India Private Ltd serves as the registrar.

The company has set a price band of ₹88-93 per share, allowing investors to bid for 161 shares in a single lot or multiples thereof.

Allocation for the IPO includes 75% for qualified institutional buyers (QIBs), 15% for non-institutional investors, and 10% for retail investors, with a minimum bid requirement of 161 shares and multiples thereof.

In the nine months ending December 2023, revenue from operations rose by 31% year-on-year to ₹497 crore, while net profit surged tenfold to ₹65.7 crore.

As per investorgain.com, the grey market premium (GMP) for the ixigo IPO today stands at +28. This suggests that ixigo shares are trading at a premium of ₹28 in the grey market.

Based on this premium and considering the upper end of the IPO price band, the expected listing price for ixigo IPO is estimated at ₹121 per share. This reflects a 30.11% increase compared to the IPO price of ₹93.

The grey market premium reflects investors’ willingness to pay a higher price than the issue price for the shares.