Online travel aggregator Yatra Online is all set to launch its initial public offering (IPO) on Friday, September 15. The offer will conclude on September 20, and the anchor book will open for a day on September 14. The price band will be announced by the travel agency company soon.
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Here are key things to know before subscribing to the issue-
The IPO comprises of a fresh issue of equity shares worth Rs 602 crore by the company and an offer for sale (OFS) of up to 1.21 crore equity shares. Promoter THCL Travel Holding Cyprus Ltd will offload 1.17 crore equity shares, while investor Pandara Trust – SCHEME I, represented by its trustee Vistra ITCL (India), plans to exit the company by selling its entire 4 lakh equity shares via the OFS.
The company undertook a pre-IPO placement of Rs 62 crore by way of rights issue and alloted 26 lakh equity shares to THCL.
The size of the fresh issue, aggregating up to Rs 750 crore, has been reduced by Rs 148 crore and accordingly, the size of the fresh issue is for an aggregate amount of up to Rs 602 crore.
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The company will not receive any proceeds from the OFS.
The net proceeds of the fresh issue will be utilised for—1. Strategic investments, acquisitions and inorganic growth; 2. Investment in customer acquisition and retention, technology, and other organic growth initiatives; and
3. General corporate purposes.
SBI Capital Markets Ltd, DAM Capital Advisors Ltd and IIFL Securities Ltd are the book-running lead managers to the issue, while Link Intime India is the registrar.
The travel agency company had filed its Draft Red Herring Prospectus (DRHP) with Sebi in March last year and received the capital marker regulator’s nod in November 2022.
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According to a report by CRISIL, Yatra Online is India’s largest corporate travel services provider in terms of number of corporate clients and the third largest online travel company in India among key OTA players in terms of gross booking revenue and operating revenue, for fiscal 2023.
The company has 813 large corporate customers and over 49,800 registered SME customers. It also has a strong travel agent network of 29,800 in above 1,000 cities across India as of March 31, 2023.
