Travel booking platform Ixigo makes public market debut, lists at 49% premium

Ixigo, one of the largest online travel booking platforms in India, has successfully listed on the public markets today. And riding on the high that Indian public markets have been for some time, the stock listed at a massive 49% premium, surpassing all market expectations. The stock debuted at ₹138.10 on the NSE, marking a premium of 48.5 percent over the issue price of ₹93.

In terms of investor interests and subscriptions, Ixigo’s ₹720 crore public offer received bumper response from investors. The stock was subscribed 98.34 times overall. Non-Institutional Investors (NIIs) led from the front and subscribed the portion set aside for them 110.5 times. The Qualified Institutional Buyers (QIBs) segment was oversubscribed by nearly 106 times while the portion reserved for retail investors was subscribed nearly 59 times of the actual allotment.

With its successful listing, Ixigo joins a small but growing list of Indian tech companies, now maturing to list on public markets. The list includes Zomato, Paytm, Nykaa among others.

The company intends to use the net proceeds from the issue to partially fund its working capital needs, invest in cloud infrastructure and technology, finance potential acquisitions and other strategic initiatives, and cover general corporate expenses. ₹45 crore will be used to fund the company’s working capital requirements, while ₹26 crore will be used for investments in technology and data science, such as cloud and server hosting, artificial intelligence and customer engagement.