Ixigo makes blockbuster debut on stock markets with 78% jump over issue price
ixigo gained 49% at the start of trading compared to its listing price of Rs 93, and hit the 20% upper circuit by afternoon, trading at Rs 165.72.
Le Travenues Technology, the parent company of online travel booking site , had a blockbuster opening on the first day of trading on the stock exchanges.
The share price of ixigo opened 49% higher on Tuesday compared to its listing price of Rs 93, surpassing all expectations. At 2 pm, it hit the upper 20% circuit and was trading at Rs 165.72, which is a gain of 78% from the issue price.
The market capitalisation of ixigo stood at Rs 6,420.38 crore.
This is the strongest opening by an Indian startup on day one as a publicly traded company. In 2021, had made a gain of 66% on the first day of trading.
ixigo has become the third company from the Indian startup ecosystem to list on the stock exchanges this year, with the other two being Go and . Both these companies had a more modest stock market debut.
The travel booking company raised Rs 720 crore in the initial public offering (IPO), which was a combination of an offer for sale and a fresh issue of equity. The issue was subscribed 98.34 times.
The company has investors including Elevation Capital and Peak XV on its captable.
“We first partnered with Aloke and Rajnish in 2016 but we have known them for 16 years, and to see them go public today is a career highlight," Shailesh Lakhani, MD, Peak XV said in a statement. "With ~100 million MAUs and owning four of the top 10 travel apps in India, ixigo is a leading online travel platform that is best positioned to help the hundreds of millions of travellers explore India and the world,” he added.
“After overcoming many tough and near-death situations, as ixigo transfers to the next leg of the journey today, we couldn’t have been more proud of the company the founders have built and are truly grateful for the privilege of being a part of this journey,” Lakhani said.
ixigo plans to use the IPO proceeds towards working capital requirements, investments in technology, making acquisitions, and general corporate purposes.
Edited by Jyoti Narayan