Le Travenues Technology, which operates online travel portal Ixigo, has received clearance from the Securities and Exchange Board of India to raise funds through an initial public offering, according to a notification by the market regulator on Wednesday.
The Gurugram-based company had filed its initial IPO papers in February, with a proposal comprising an issue of fresh shares worth INR 120 crore and an offer for sale (OFS) of 66.67 million shares by its existing shareholders. The selling shareholders included Elevation Capital (earlier Saif Partners), Peak XV Partners, and founders Aloke Bajpai and Rajnish Kumar, as per the draft red herring prospectus (DRHP).
Net proceeds from the sale of fresh shares are planned to be used for funding working capital requirements and acquisitions, investment in technology, other strategic initiatives and general corporate purposes.
Ixigo, launched in 2007 by Bajpai and Kumar, focuses on enabling Indian travellers to plan, book and manage their trips across rail, air, buses, and hotels.
It competes with listed online travel agents such as MakeMyTrip, IRCTC, Yatra Online and EaseMyTrip.
For the nine months through December 2023, the company reported a net profit of INR 65.7 crore and an operating revenue of INR 491 crore.
Oravel Stays Ltd, OYO’s parent company, had in November prepaid a significant chunk of its debt amounting to INR 1,620 crore through a buyback process. The buyback involved repurchasing 30 per cent of its outstanding Term Loan B of USD 660 million. The move brought down its outstanding loan amount to around USD 450 million.
Axis Capital, DAM Capital Advisors, and JM Financial are the book-running lead managers for the issue.
