Ixigo share price jumps over 13% after listing at healthy premium

Shares of Le Travenues Technologies, which operates the travel platform Ixigo rallied nearly 13% from its listing price of Rs 135 on BSE to the day’s high of Rs 152.21 after a healthy listing on the exchange at a premium of 45%.

The company's shares were trading at a premium of Rs 30 in the unlisted market and the issue was booked nearly 98.34 times at close on strong interest from non-institutional and institutional buyers.

The category reserved for retail investors was booked 54.8 times, while that of the non-institutional investors category received bids for 110.5 times. Qualified Institutional Buyers (QIBs) bid 106.7 times the reserved portion.

“Le Travenues' AI-powered operations provide a competitive advantage. The company caters to various travel needs, offering a strong foundation, and its impressive revenue and profit growth demonstrate a promising future,” says Shivani Nyati, Head of Wealth at Swastika Investmart.

Le Travenues' strong listing is a positive sign, showcasing investor belief in its long-term growth prospects within the online travel sector. The investors are advised to hold their position with a stop loss of 111, she added.

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The company intends to utilize the proceeds from the public offer for funding working capital requirements, investments in tech, funding inorganic growth through acquisitions and other strategic initiatives and general corporate purposes.

Ixigo is a technology company focused on empowering Indian travellers to plan, book and manage their trips across rail, air, buses and hotels. It assists travellers in making smarter travel decisions by leveraging artificial intelligence, machine learning and data science-led innovations on its OTA platforms.

The company aims to become the most customer-centric travel company, by offering the best customer experience to users.

For the nine months ended December 2023, revenue from operations increased 31% year-on-year to Rs 497 crore, while net profit jumped multifold to Rs 65.7 crore.

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