NE BUSINESS BUREAU
AHMEDABAD, MAY 4
Travel distribution platform TBO Tek Limited has on Saturday announced a price band of ₹875-920 per share for its maiden public offer, which opens for subscription on Wednesday, May 8. The company plans to raise around ₹1,551 crore from the issue.
- Price Band fixed at ₹875 to ₹920 per equity share of face value of ₹1 each
- Bid/ Offer will close on Friday, May 10, 2024
- The Anchor Investor Bidding Date shall be Tuesday, May 07 , 2024
- Bids can be made for a minimum of 16 Equity Shares and in multiples of 16 Equity Shares thereafter
The Offer will close on Friday May 10th, 2024. The Anchor Investor Bidding Date shall be on Tuesday May 07th, 2024.
Bids can be made for a minimum of 16 Equity Shares and in multiples of 16 Equity Shares thereafter.
The Offer comprises fresh issue of Equity Shares aggregating to ₹400 Crore and an Offer of Sale by certain shareholders of up to 12,508,797 Equity shares amounting to ₹1,150.81 crores . Under the OFS, promoters Gaurav Bhatnagar, Manish Dhingra, LAP Travel and other selling shareholders TBO Korea, Augusta TBO will offload the shares.
The Company proposes to utilized net proceeds of the Fresh Issue portion of the Offer towards (i) Growth and Strengthening of its platform by adding new Buyers (defined below) and Suppliers which shall include (a) ₹135 crore towards investment in technology and data solutions by the Company, (b) ₹100 crore towards investment in its Material Subsidiary, Tek Travels DMCC, for onboarding platform users through marketing and promotional activities, and hiring sales and contracting personnel for augmenting the Supplier and Buyers based outside India, (c) ₹25 crore investment in sales, marketing and infrastructure to support organization’s growth plans in India; and (ii) Unidentified inorganic acquisitions and towards general corporate purpose amounting to ₹40.00 crore.
The Offer includes a reservation of up to ₹3 crore for subscription by eligible employees.
The issue is being made through the book-building process, with up to 75% of the net issue available for allocation to Qualified Institutional buyers on a proportionate basis, 15% to non-institutional investors, and a minimum of 10% of the net issue available for allocation to retail investors on a proportionate basis.
The TBO platform connects over 159,000 Buyers across more than 100 countries with over one million Suppliers, as of December 31, 2023. TBO supports a wide range of currencies along with forex assistances (Source: 1Lattice Report).
TBO simplifies the business of travel for suppliers such as hotels, airlines, car rentals, transfers, cruises, insurance, rail and others, and retail buyers such as travel agencies and independent travel advisors; and enterprise buyers that include tour operators, travel management companies, online travel companies, super-apps and loyalty apps through their two-sided technology platform that enables Suppliers and Buyers to transact seamlessly with each other. TBO’s platform allows the large and fragmented base of Suppliers to display and market inventory to, and set prices for, the large and fragmented global Buyer base. For Buyers, the platform is an integrated, multi-currency and multi-lingual one-stop solution that helps them discover and book travel for destinations worldwide, across various travel segments such as leisure, corporate and religious travel.
Axis Capital Limited, Jefferies India Private Limited, Goldman Sachs (India) Securities Private Limited, and JM Financial Limited serve as the book-running lead managers for the TBO Tek IPO, with KFin Technologies Limited acting as the registrar for the issue.
