ixigo-parent Le Travenues Technology lists at 78% premium over issue price

ixigo listing today, June 18: The shares of Le Travenues Technology, which operates online travel portal Ixigo, surged 78 per cent during their trading debut on Tuesday.

The listing day gains exceeded expectations as the Street was expecting the stock to list with a 30 per cent gain. 

The stellar debut follows nearly 100x demand for shares of Ixigo during its Rs 740-crore initial public offering (IPO) that concluded last week.

As against the IPO price of Rs 93, the shares of the company opened at Rs 138.1 on the NSE. They hit the 20 per cent upper trading limit (over the opening price) to end at Rs 165.72, with a gain of 78.2 per cent over the issue price — the third-best listing day performance for IPOs this year.

The shares worth Rs 1,416 crore of Ixigo traded on the NSE. At the last close, the company was valued at Rs 6,420 crore. 

Ixigo is a leading online travel agency (OTA), which allows users to plan, book, and manage their trips across rail, air, buses, and hotels. Ixigo’s bus-focused app AbhiBus is the 2nd largest bus-ticketing OTA in India.

“At an upper band, the company is valued at price-to-earnings (P/E) of 154x while on the mcap/sales, it is valued at 7.2 times post issue of equity shares, compared to its peers (Yatra Online’s 192x, Easy Trip Planners’ 54.5x) on FY23 earning basis. Therefore, we believe that Ixigo has a scope of business improvement on the back of industry tailwinds, brand recall, and business scalability, resulting in expansion of profitability,” Anand Rathi has said in an IPO rote advising its clients to subscribe to the IPO.

For the first nine months of 2023-24, the company clocked net profit of Rs 65.7 crore on revenues from operations of Rs 491 crore.

Le Travenues Technology is the country’s leading online travel aggregator, which helps travellers plan, book and manage their trips across rail, air, buses, and hotels.