Ixigo-Le Travenues Technology Ltd IPO: Review, Date & GMP

Ixigo-Le Travenues Technology Ltd IPO: Complete Overview

Le Travenues Technology Limited, established in 2006, is a travel booking company that allows travelers to book train, flight, and bus tickets as well as hotels under the name of its four OTA (Online Travel Agency) platforms- abhibus, ixigo (airways), ixigo (railways), and Confirmtkt. 

The company, the second largest OTA platform in India, is also the leading OTA for many billion users. As of September 2023, its OTA platforms had the highest usage among all its key competitors.

Last September, it provided services to nearly 83 million monthly active users across its apps, with 4.9 million monthly app downloads. As of Q3 FY24, nearly 42 million transactions were made through its OTA platforms. The company recently launched ‘ixigo Plan’ an AI-based plan that enables travelers to plan their trips with detailed itineraries and real-time destination arrivals.

As of December last year, 486 employees were working with the company as full-time employees.

Ixigo-Le Travenues Technology Ltd IPO Overview

Ixigo-Le Travenues Technology Ltd IPO is set to open its subscription on June 10, 2024, and close on June 12, 2024. ixigo IPO will be listed on BSE and NSE. The price of each share is set at Rs.88 to Rs.93.

The total issue size of this share amounts to Rs.740.10 crore. Out of which 10% is allocated to retail investors, 75% to institutional and 15% to non-institutional investors. 

Company Financial

Le Travenues Technology Limited's revenue exceeded 34.46% and profit after tax (PAT) increased by 210.91% in the financial year March 31, 2022-March 31, 2023. The company has seen growth in total assets, revenue, and PAT in the period from 31 March 2021 to 31 March 2023.

(Amount in Crores)

 

 

The Objective of the Issue

The company intends to utilize the Net Proceeds towards funding its following objectives:

1. Part-subsidizing performing capital necessities of the organization5

2. Investment in cloud infrastructure and innovations

3. Funding inorganic growth through unidentified acquisitions and other key drives and general corporate purposes.

Peers of Ixigo-Le Travenues Technology Ltd IPO

 

Evaluation

The IPO issue price is set at 88Rs.to 93Rs. per share. 

Evaluation of P/E Ratio

The P/E Ratio of Ixigo-Le Travenues Technology Ltd IPO is not available.

Comparative Analysis with Listed Peers

The average P/E Ratio of the industry is 152.98.

IPO's Strengths 

• Leading OTA with significant entrance in the undeserved ‘next billion client’ market portion. ‘Next billion client’ refers to the present and expected market of new internet clients that incorporates all tier-1 market interests and contained about 60%-65% of the travel industry in FY23.
  
  

• AI-driven plans like ixigo PLAN, a wise simulated intelligence-based trip organizer, ixigo Guaranteed Flex, which permits the acquisition of fully flexible airline or train tickets, and AI-driven personal travel assistant, TARA.
  
  

• A comprehensive blend of product and service offerings with a presence across trains, flights, road transports, and hotels allows it to monetize all aspects of its OTA platforms and gives operating flexibility.

IPO's Weaknesses 

• The company works in an exceptionally serious Indian OTA industry with competition from competitors like MakeMyTrip, EaseMyTrip, Yatra.com, Cleartrip, PayTM, Amazon, RailYatri, Goibibo, and Redbus. 

• This travel industry can be adversely impacted by security concerns, military attacks, geographical instability, well-being concerns, normal disasters, etc.

• It has faced a net loss of Rs. 21 crore, increasing expenses because of the low worker investment opportunity and the effect of the Coronavirus pandemic.

• It had negative incomes from working exercises adding up to Rs. 15 crore and Rs. 34 crore in FY21 and FY22 because of the Coronavirus pandemic and subsequent lockdowns.

 

IPO GMP Today

The Latest GMP of Ixigo-Le Travenues Technology Ltd IPO is Rs.30.50.

Ixigo-Le Travenues Technology Ltd IPO timetable (Tentative)

Ixigo-Le Travenues Technology Ltd IPO is scheduled from June 10 to June 12, 2024, with allotment on June 13, refund initiation on June 14, and listing on June 18, 2024.

 

Ixigo-Le Travenues Technology Ltd IPO Details 

Ixigo-Le Travenues Technology Ltd IPO with a face value of Rs.1 per share is set to start on June 10 and close on 12 June and will offer a total issue size of 79,580,900 with a price band Rs.88 to Rs.93 aggregating up to Rs.740.10crores.

 

Ixigo-Le Travenues Technology Ltd IPO Lot Details 

Ixigo-Le Travenues Technology Ltd IPO allows retail investors to invest in a minimum of 1 lot (161 shares) at Rs.14,973, and a maximum of 13 lots (2093 shares) at Rs.194,649, while for S-HNI investors, the minimum lot is 14 (2254 shares) at Rs.209,622, and a maximum of 66 lots (10626 shares) at Rs.988,218.

 

Ixigo-Le Travenues Technology Ltd IPO Reservation

 

 

Promoters and Management of Ixigo-Le Travenues Technology Ltd.

The company doesn’t have any identifiable promoters. 

 

Ixigo-Le Travenues Technology Ltd IPO Lead Managers:

• Axis Capital Limited [Past IPO Performance]

• Dam Capital Advisors Ltd. (Formerly IDFC Securities Ltd.) [Past IPO Performance]

• Jm Financial Ltd. [Past IPO Performance]

 

Dividend Policy

No dividend on equity shares has been declared by the company during the last three financial years.

 

Conclusion

The company has high financial value in the market and is offering an IPO in the coming days. The company specializes in online travel ticketing systems. So if you are planning to invest in this upcoming IPO this blog would be really helpful in knowing about the factual data of the company, and its performance. If the data, and facts presented in this blog attract you then you can think of taking part and leverage the benefits that it will provide in the market. However, we advise our potential readers to first consult their financial advisor before taking any decision in this regard.

Disclaimer: This IPO analysis is only for informational purposes and should not be considered as investment advice. Always do your research and consult with a financial advisor.

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