TBO Tek Files IPO Papers with SEBI

9 Nov 2023 , 01:53 AM

Online travel agency TBO Tek files draft papers with Sebi for an initial public offering (IPO). The IPO includes a fresh issuance of shares worth Rs 400 crore by the company and an offer-for-sale (OFS) of 1.56 crore equity shares by promoters and investors.

Promoters Gaurav Bhatnagar, Manish Dhingra, and LAP Travel, along with investors TBO Korea and Augusta TBO, are the selling shareholders in the OFS. TBO Tek may consider raising Rs 80 crore via private placement (pre-IPO placement) before filing a red herring prospectus with the Registrar of Companies (RoC).

The fresh issue proceeds will be used for growth, platform strengthening, adding new buyers and suppliers, inorganic acquisitions, and general corporate purposes. The travel distribution platform, founded by Gaurav Bhatnagar and Ankush Nijhawan, records healthy growth with bookings per day at 41,218 for FY23, a 46% increase over the previous year.

Gross transaction value in FY23 doubles to Rs 22,323.56 crore from Rs 10,256.5 crore in FY22. Net profit in FY23 increased over four-fold to Rs 148.5 crore from Rs 33.7 crore in the previous year.

Revenue from operations in FY23 more than doubles to Rs 1,064.6 crore from Rs 483.3 crore. In Q1FY24, net profit is Rs 47.3 crore on revenue of Rs 344.56 crore.

Promoters, including TBO ESOP Trust, hold 51.26% shares, while investors Augusta TBO, TBO Korea, and General Atlantic own significant stakes. TBO Tek compares itself with Rategain Travel Technologies and lists Travel CTM and Webjet as global competitors.

Axis Capital, Goldman Sachs (India), JM Financial, and Jefferies India are the book-running lead managers, and KFin Technologies is the registrar to the offer.

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