Le Travenues Technology, which owns Ixigo’s travel platform, has submitted its draft red herring prospectus (DRHP) to the capital markets regulator Securities and Exchange Board of India (SEBI) seeking to raise Rs 1600 crore via an initial public offering (IPO).
The Gurugram-based company proposes to raise Rs. 750 crore by offering primary shares, while promoters and stakeholders would offload Rs. 850 crore worth of shares via an offer for sale (OFS).
The OFS includes the sale of holdings valued at approximately Rs. 50 crore by group chief chief executive officer and managing director and co-founder Aloke Bajpai, up to Rs. 50 crore by Group Chief Product and Technology Officer, Director and co-founder Rajnish Kumar, and roughly to Rs. 550 crore by venture capital fund Elevation Capital (earlier called SAIF Partners), according to the draft red herring prospectus filed with SEBI. Ixigo is currently owned by Bajpai, Kumar, SAIF Partners, and Micromax in which Bajpai possesses 9.18 percent, Kumar 8.79 percent, and Micromax 7.61 percent.
Last month, the startup secured $53 million (~Rs 395 crore) in a pre-IPO round backed by Singapore sovereign wealth fund GIC, alongside Info Edge Ventures, White Oak, Bay Capital, Orios Venture Partners, Trifecta Capital, and Malabar Investments. The company is reportedly valued at roughly $850 million, according to insiders, and is expected to go public later this year. The capital raised from the IPO will be used to boost the company’s organic as well as inorganic growth targets, as per the company.
The company has appointed Investment banks ICICI Securities, Axis Capital, Kotak Mahindra Capital, and Nomura to manage the issue with law institutions such as Shardul Amarchand Mangaldas and Khaitan & Co are providing legal assistance to the company.
Ixigo, founded by Bajpai and Kumar in 2007, simplifies the booking of train, flight, and bus tickets, as well as hotel and cab reservations, but also offers travel utility solutions and services such as train PNR status and confirmation projections, train seat availability notifications, train running status updates and delay predictions, flight status updates, bus running status, pricing and availability alerts, deal discovery, destination content with personalized recommendations alongside automated customer support services.
ixigo boasts a user base of over 250 million users and 8.56 million transactions for booking and reservation within the app. It purchased Confirmtkt a Bengaluru-based online train discovery app, for an undisclosed sum earlier this year. The IPO-bound company also announced the acquisition of AbhiBus, a bus ticketing and aggregation platform based in Hyderabad, on a slump sale basis.