Easy Trip Planners IPO sails through on Day 1
The company claimed that it was the only profitable online travel agency among the key online travel agencies in India during FY18-FY20
Initial public offering by online travel company Easy Trip Planners got fully subscribed on the first day of bidding process on Monday.
The public offer has received bids for 2.42 crore shares till 2.50 pm (IST) against the issue size of 1.50 crore shares, indicating an oversubscription of 1.61 times.
The company has fixed a price band of Rs 186-187 per share for its Rs 510-crore initial share-sale, which will conclude on March 10.
Easy Trip Planners on Friday raised a little over Rs 229 crore from anchor investors. A total of 1,22,72,727 shares have been allocated to 35 anchor investors at Rs 187 per share, which is the upper end of the price band. At this price, the company mopped up Rs 229.5 crore, according to a circular uploaded on the BSE website.
Among the investors that have been allocated shares are HSBC Global Investment Funds, Nomura Funds Ireland Public Limited Company, Tata Trustee Company, Aditya Birla Sunlife Insurance Company, Sundaram Mutual Fund, Bajaj Allianz Life Insurance Company and Nippon Life India Trustee Company.
EaseMyTrip.com is operated by Easy Trip Planners Private Ltd.
The company’s initial public offering is entirely an offer for sale. Through the IPO, the company’s founders Nishant Pitti and Rikant Pitti will each sell shares to the tune of Rs 255 crore through an offer-for-sale mechanism.
Nishant and Rikant hold 49.81 per cent and 49.68 per cent stake, respectively, in the company.
The object of the public issue is to achieve the benefits of listing the equity shares on stock exchanges. The company expects that listing of the equity shares will enhance its visibility and provide liquidity to its existing shareholders.
The company’s issue is being managed by Axis Capital and JM Financial.
Founded in 2008, Easy Trip Planners is an online travel agency market with offices across various Indian cities, including Noida, Bengaluru, Mumbai and Hyderabad. Its international offices (as subsidiary companies) are located in Singapore, the UAE and the UK.
The company claimed that it was the only profitable online travel agency among the key online travel agencies in India during FY18-FY20 in terms of net profit margin.
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