Yatra Online IPO to open on September 15; sets IPO price ta Rs 135-142 per share

15 Sep 2023 , 02:02 AM

Yatra Online, a prominent corporate travel service provider in India, is scheduled to launch its initial public offering (IPO) on September 15, 2023. Here are some key details about the IPO:

1. IPO Composition: The IPO comprises a fresh issuance of shares worth Rs 602 crore and an offer-for-sale (OFS) of 1,21,83,099 equity shares. The OFS includes 17,51,739 equity shares to be sold by the promoter, THCL Travel Holding Cyprus, and the complete exit of 4,31,360 shares by investor Pandara Trust – SCHEME I, represented by its trustee Vistra ITCL (India).

2. Pre-IPO Placement: Yatra Online raised Rs 62.01 crore from a rights issue and allotted 26,27,697 shares to THCL at an issue price of Rs 236 each, as part of the pre-IPO placement. As a result, the size of the fresh issue was reduced by Rs 148 crore, making the fresh issue amount to Rs 602 crore.

3. Price Band: The price band for the IPO has been set at Rs 135-142 per share.

4. Subscription Period: The IPO will open for subscription on September 15 and close on September 20, 2023. The anchor book opened on September 14.

5. Allotment and Listing: The basis of allotment will be announced on September 25, and equity shares will be credited to demat accounts on September 26. Yatra Online is expected to be listed on exchanges on September 29, 2023.

6. Allocation: The allocation of shares will be 75% to qualified institutional bidders, 15% to non-institutional investors, and 10% to retail investors.

7. Utilization of Proceeds: The net proceeds from the fresh issue, which amount to Rs 602 crore, will be utilized for various purposes. This includes Rs 150 crore for strategic investments, acquisitions, and inorganic growth, and Rs 392 crore for investment in customer acquisition and retention, technology, and other organic growth initiatives. The remaining funds will be used for general corporate purposes.

8. Merchant Bankers and Registrar: SBI Capital Markets, DAM Capital Advisors, and IIFL Capital Services are the merchant bankers managing the IPO. Link Intime India is the registrar for the IPO.

Yatra Online claims to be India’s largest corporate travel services provider in terms of the number of corporate clients. It is also the third largest online travel company in India based on gross booking revenue and operating revenue for FY23. The company has a significant number of hotel and accommodation tie-ups, with over 21,05,600 tie-ups as of March FY23.