JOIN USEasy Trip Planners IPO subscribes 2.34 times on Day 1
The Rs 510-crore initial public offering of Easy Trip Planners was subscribed 2.34 times on Monday, the first day of the bidding process, on strong support from retail investors.
The IPO has received bids for 1.5 crore equity shares against an offer size of 3.51 crore equity stocks, translating into a subscription of 2.34 times, data available on the exchanges till 5 pm showed.
The portion reserved for retail investors was subscribed 12.64 times, the non-institutional category received a 15 per cent subscription and the qualified institutional buyer's category did not receive any bid.
Easy Trip Planners on Friday raised a little over Rs 229 crore from anchor investors.
The company's initial public offering is entirely an offer for sale. Through the IPO, the company's founders Nishant Pitti and Rikant Pitti will each sell shares to the tune of Rs 255 crore through the offer-for-sale mechanism.
Nishant Pitti and Rikant Pitti hold 49.81 per cent and 49.68 per cent stake, respectively, in the company.
EaseMyTrip.com is operated by Easy Trip Planners Private Ltd.
The company has fixed a price band of Rs 186-187 per share for its three-day initial share-sale, which conclude on March 10.
The object of the public issue is to achieve the benefits of listing the equity shares on stock exchanges.
The company expects that listing of the equity shares will enhance its visibility and brand and provide liquidity to its existing shareholders.
The company's issue is being managed by Axis Capital and JM Financial. Founded in 2008, Easy Trip Planners is an online travel agency market with offices across various Indian cities, including Noida, Bengaluru, Mumbai and Hyderabad. Its international offices (as subsidiary companies) are located in Singapore, the UAE and the UK.
The company claimed that it was the only profitable online travel agency among the key online travel agencies in India during FY18-FY20 in terms of net profit margin.
In 2010, online travel company MakeMyTrip got listed on the Nasdaq.