Yatra Online IPO Day 1: Subscription Status, GMP & Other Details
The Yatra Online IPO, initiated by India’s prominent corporate travel service provider, opened its doors for subscription on September 15, with the closing date set for September 20. As investors eagerly await its performance, let’s delve into the details of this significant IPO.
Yatra Online, a leader in the corporate travel industry in India, is renowned for providing integrated travel solutions to both corporate clients and direct consumers. With an established presence in the market, Yatra Online seeks to expand its horizons by going public.
The Yatra Online IPO witnessed a tepid reception from investors during its initial day of subscription. In the allocation breakdown, the IPO reserved 75% of its shares for Qualified Institutional Buyers (QIBs), earmarked 15% for Non-Institutional Investors (NIIs), and set aside the remaining 10% for Retail Investors.
Yatra Online IPO Subscription Status:
As of the first day of the bidding process, the Yatra Online IPO achieved a subscription rate of 11%. Notably, it received bids for 33,67,035 equity shares, out of the 3.09 crore shares offered, based on data available on BSE. The retail category saw a 55% subscription rate, while the NII category reached 3%. QIBs are yet to submit their bids.
Yatra Online IPO Details:
The Yatra Online IPO is open for subscription until September 20, with the company aiming to raise ₹775 crore through this public offering. This includes a fresh issuance of ₹602 crore worth of shares and an offer for sale (OFS) of up to 1.22 crore shares by a promoter and an existing investor. The price band for Yatra Online IPO stands at ₹135 to ₹142 per equity share, with a face value of ₹1 each.
In a significant pre-IPO development, Yatra Online secured ₹348 crore from anchor investors on September 14.
For retail investors, the Yatra IPO lot size is 105 equity shares, with a minimum investment requirement of ₹14,910.
Yatra Online IPO Utilizing Proceeds:
The net proceeds from the IPO will be allocated toward strategic investments, acquisitions, and inorganic expansion, as well as general corporate purposes. This includes investments in customer acquisition and retention, technology enhancements, and other organic growth initiatives.
Yatra Online IPO Key Management and Advisors:
Leading the Yatra IPO are book running lead managers SBI Capital Markets Ltd, DAM Capital Advisors Ltd, and IIFL Securities Ltd. The IPO registrar is Link Intime India Private Ltd.
Yatra Online IPO GMP Today:
As of today, the Grey Market Premium (GMP) for the Yatra Online IPO stands at ₹0. This indicates that shares are trading at the IPO’s issue price of ₹142, with no premium or discount in the grey market.
Yatra Online IPO Analyst Insights:
Industry analysts are optimistic about Yatra Online’s future prospects. As a key player in the market, the company is well-positioned to capitalize on the growth of the tourism industry in India. Its established relationships with both B2B and B2C customers enable it to target India’s frequent travelers and educated urban consumers effectively. The expected growth in the online travel market share (OTA) is likely to outpace captive players, enhancing the company’s profitability. With the company already posting profits in FY23 and a history of strong revenue growth, analysts remain positive about Yatra Online from a medium to long-term perspective, as stated by BP Equities.
About Yatra Online:
Yatra Online Limited has established itself as the premier corporate travel services provider in India, boasting an impressive roster of corporate clientele. Additionally, it holds the prestigious position of being the third-largest player in India’s online travel industry for Fiscal Year 2023, as measured by gross booking revenue and operating revenue. This accomplishment places it among the elite Online Travel Agency (OTA) players in the nation.
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