Ixigo is making another attempt to list on the Indian stock exchanges, and this time around, the response has been positive. The Gurugram-based online travel aggregator, whose train ticketing business is its primary revenue generator, witnessed its shares being subscribed 1.95 times on the first day of its IPO offer. Retail investors showed strong interest, with their portion being oversubscribed by 6.21 times, while non-institutional investors subscribed 2.78 times.
Initially planned for 2021, Ixigo’s IPO faced delays due to unfavorable market conditions. However, the company used this time to focus on scaling its business and improving financial performance. With revenue and profits showing growth, Ixigo refiled its DRHP in February this year and received approval in May, indicating a favorable market environment. The IPO, which opened for bidding on June 10 and closes on June 12, aims to raise Rs 740 crore.
The proceeds from the IPO will be utilized for various purposes, including working capital requirements, technology enhancements, and potential acquisitions to fuel further growth. With a strong user base and successful acquisitions such as AbhiBus and Comfirmtkt, Ixigo is well-positioned to capitalize on the opportunities in the market. The company’s focus on technology and artificial intelligence, coupled with its commitment to sustainable growth, makes it an attractive investment opportunity in the travel sector.
