The eagerly anticipated public issue of online travel aggregator (OTA) ixigo concluded today, June 12, amidst remarkable investor enthusiasm. The response was overwhelming, with investors subscribing for 430.40 crore shares against the 4.37 crore shares on offer, resulting in a staggering oversubscription rate of 98.34 times.
Investor Interest Across Segments
Interest from Qualified Institutional Buyers (QIBs) intensified on the final bidding day, with bids placed for 254.81 crore shares against the 2.38 crore shares reserved for them, leading to an oversubscription of 106.73 times.
Non-Institutional Investors (NIIs) demonstrated unwavering optimism since the inception of the IPO. They oversubscribed their quota by 110.53 times, placing bids for 131.94 crore shares against the 1.19 crore shares reserved for them. Notably, NIIs with bid amounts exceeding INR 10 lakh exhibited the highest interest, oversubscribing their quota by 117.40 times.
Retail Investors’ Response
Retail Individual Investors (RIIs) also displayed robust participation, oversubscribing their quota by 54.85 times on the final bidding day. Investors in this segment placed bids for 43.64 crore shares against the 79.58 lakh shares reserved for them.
IPO Details and Market Debut
With the closure of its IPO, ixigo is poised to make its debut on the public markets. The IPO, priced in the range of INR 88-93 per share, is set to raise INR 740 crore. It comprises a fresh issue of shares worth INR 120 crore and an offer for sale (OFS) component of 6.67 crore shares worth up to INR 620 crore.
Prior to its IPO, ixigo garnered INR 333 crore from 23 anchor investors, including prestigious names such as SBI Magnum Children’s Benefit Fund, the Government of Singapore, Tata Investment Corporation Limited, and Bajaj Allianz Life Insurance Company.
ixigo’s Journey and Financial Performance
Founded by Aloke Bajpai and Rajnish Kumar in 2007, ixigo initially operated as a travel search website before transitioning into an OTA in FY20. Despite facing challenges, including postponing its IPO in 2021 due to macroeconomic conditions, ixigo has maintained profitability. After reporting a profit of INR 23.3 crore in FY23, the company continued its positive trajectory, recording a profit of INR 65.7 crore for the first nine months of FY24.
