TBO Tek IPO Price Band: TBO Tek IPO, which closes on May 10, includes fresh equity of Rs 400 crore and an offer for sale (OFS) of up to 1.25 crore shares. Under the OFS, promoters Gaurav Bhatnagar, Manish Dhingra, LAP Travel and other selling shareholders TBO Korea, Augusta TBO will offload the shares.
TBO Tek has announced a price band of Rs 875-920 per share for its maiden public offer, which opens for subscription on May 8. The company plans to raise around Rs 1,551 crore from the issue.
The IPO, which closes on May 10, includes fresh equity of Rs 400 crore and an offer for sale (OFS) of up to 1.25 crore shares. Under the OFS, promoters Gaurav Bhatnagar, Manish Dhingra, LAP Travel and other selling shareholders TBO Korea, Augusta TBO will offload the shares.
About 75% of the IPO is reserved for qualified institutional buyers, 15% for non-institutional investors, and the remaining 10% for retail investors.
Investors can bid for a minimum of 16 shares in one lot and multiples thereafter.
Net proceeds from the fresh issue will be utilised for the growth and strengthening of the platform by adding new buyers and suppliers, unidentified inorganic acquisitions, and general corporate purposes.
TBO simplifies the business of travel for suppliers such as hotels, airlines, and retail buyers such as travel agencies and enterprise buyers that include tour operators, and travel management companies through the two-sided technology platform that enables suppliers and buyers to transact seamlessly with each other.
The platform connects over 147,000 buyers across more than 100 countries with over one million suppliers, as of June 2023. Recently, leading investment firm General Atlantic acquired a minority stake in TBO.
In 2023 the travel and tourism industry is estimated to recover at pace, growing 18% year-on-year (YoY) from 2022 to reach $1.9 trillion, and is expected to grow at a CAGR of 8.2% to reach $2.6 trillion in 2027.
For the nine months ended December 2023, the company’s revenue from operations improved 31% year-on-year (YoY) to Rs 1,024 crore. Profit after tax (PAT) for the same period increased 28% YoY to Rs 154 crore.
