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Le Travenues Technology, the parent company of the popular online travel portal ixigo, has received approval from the Securities and Exchange Board of India (SEBI) to proceed with its plans for an initial public offering (IPO), according to an announcement by the market regulator on Wednesday.
- Also read: Prodapt to go public in 2-3 years
Headquartered in Gurugram, the company initially submitted its IPO prospectus in February. The proposal outlined a plan to issue fresh shares worth ₹120 crore, alongside an offer for sale (OFS) of 66.67 million shares by existing shareholders. Notable among these selling shareholders are Elevation Capital (formerly known as Saif Partners), Peak XV Partners, and the company’s founders, Aloke Bajpai and Rajnish Kumar, as detailed in the draft red herring prospectus (DRHP).
In February, ixigo re-submitted its DRHP with SEBI for the IPO, maintaining the aim of raising ₹120 crore through fresh issues and offering up to 66,677,674 equity shares for sale.
The capital raised will be allocated towards technology investments, particularly in areas like data science, cloud infrastructure, server hosting, artificial intelligence, and enhancing customer engagement.
The net proceeds from the sale of fresh shares will be utilised to support working capital needs, potential acquisitions, technological advancements, strategic initiatives, and general corporate operations.
9M results
Financially, Ixigo demonstrated robust performance, reporting ₹491 crore in revenue from operations for the nine months ending December 2023, accompanied by a profit of ₹65.7 crore. In FY23, the company witnessed a notable 32 per cent surge in revenue from operations, reaching ₹501 crore. Furthermore, it achieved profitability in FY23, marking a significant turnaround with a profit of ₹23.4 crore, compared to a loss of ₹21 crore in FY22.
Established in 2007 by Bajpai and Kumar, Ixigo is dedicated to assisting Indian travelers in planning, booking, and managing their journeys, covering various modes of transportation including rail, air, buses, and accommodations.
The company faces competition from prominent listed online travel agents such as MakeMyTrip, IRCTC, Yatra Online, and EaseMyTrip.
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