Le Travenues Technology, the parent company of travel booking tool Ixigo IPO has created a lot of noise in the main market. Investors—especially individual investors—have responded well to the ₹740.10 crore public issue that went under bid on June 10, 2024.
This blog helps you decide whether to apply for the Ixigo IPO by delving deeply into the Ixigo IPO facts, subscription status, analyst reviews.
Ixigo IPO Information & Subscription Status
Fresh issuance mixed with an Offer for Sale (OFS) makes Ixigo’s IPO. Through fresh issues, the company wants to raise ₹120 crore; through OFS, ₹620.10 crore. The IPO’s price band is from ₹88 to ₹93 per equity share. The proposed issue appears on both BSE and NSE.
Day 2 (at 1:39 PM) finds the Ixigo IPO subscribed over five times. Especially, the retail part of the deal had a great reaction with a subscription more than 13 times.
With a 9.55 times subscription, the NII segment also showed good demand. Still, the QIB component has gotten a subdued reaction thus far; subscribed only 0.39 times. Strong interest shown by retail investors indicated by this high subscription suggests possible oversubscription and listing gains.
Analyst Exams
Regarding the Ixigo IPO, analysts see different things. Given the company’s recent losses and high valuation, some analysts—including Mehta Equities’ Rajan Shinde—recommend a cautious subscription. Shinde notes the company’s remarkable income rise but also notes the epidemic-related major loss in FY22.
Furthermore voiced are worries about the high value determined by a P/E ratio of 41.12 at the higher price range. Furthermore, something cautious investors should take into account is the low promoter holding post-IPO.
On the IPO, other analysts such as Anand Rathi and Canara Bank Securities are more upbeat, though. They underline Ixigo’s great market share in online travel bookings, the growing trend toward online booking, and the company’s possibilities for business development. These analysts advise long-term perspective subscribers to the IPO.
Should You Apply?
Your investment horizon and risk tolerance will determine whether or not you choose to invest in the Ixigo IPO. This breaks out to assist you in making decisions:
- Benefits:
- Strong brand presence in the travel internet space
- Great expansion possibilities in the travel industry online
- Oversubscription causes possible listing profits; con:
- Recent losses and great value
- Low post-IPO holder of promoters
- Unknown market circumstances
All things considered, investors with a high-risk tolerance and a long-term investing perspective could find this IPO appropriate. Before deciding on any investment, you must do your homework, review the company’s financial records, and grasp the associated hazards.
Conclusion
This blog’s content and opinions from Finance Seekhon are just for informative use; they should not be taken as investment advice. Before deciding on any investment, always speak with a certified financial counselor.
