Ixigo, the online travel aggregator, has witnessed an unprecedented investor frenzy as its Initial Public Offering (IPO) concluded with a staggering oversubscription rate of 98.34 times.
Investors placed bids for 430.40 crore shares against the 4.37 crore shares on offer, reflecting immense confidence in the company’s growth prospects.
Qualified Institutional Buyers (QIBs) led the charge on the final day of bidding, oversubscribing their quota by 106.73 times. This segment, crucial for large fund participation, saw bids amounting to 254.81 crore shares against the reserved 2.38 crore shares.
Non Institutional Investors (NIIs) demonstrated unwavering confidence in ixigo’s IPO from the outset, oversubscribing their allotted shares by 110.53 times, with bids totaling 131.94 crore shares against the reserved 1.19 crore.
Among them, investors bidding over INR 10 lakh showcased the highest enthusiasm, oversubscribing their quota by an impressive 117.40 times.
Retail Individual Investors (RIIs), while slightly less aggressive, still showed substantial interest with an oversubscription of 54.85 times. They bid for 43.64 crore shares against the reserved 79.58 lakh shares.
Ixigo’s IPO, priced in the range of INR 88-93 per share, aims to raise INR 740 crore through a combination of fresh issue and offer for sale (OFS).
The company’s successful fundraising efforts come on the heels of securing INR 333 crore from 23 anchor investors, underscoring strong investor confidence in its business model.
Founded in 2007, Ixigo transitioned into an OTA in FY20, offering a comprehensive suite of travel services including flights, trains, buses, hotels, and holiday packages.
After navigating economic challenges in previous years, the company returned to profitability, reporting a notable profit of INR 65.7 crore for the first nine months of FY24.
With its IPO oversubscribed nearly a hundred times, Ixigo is poised to make a strong debut on the public markets, marking a significant milestone in its journey towards further expansion and growth in the travel tech industry.
