This Article is From Dec 09, 2021

RateGain Travel Technologies IPO Subscribed 17.41 Times On Final Day Of Issue

The initial public offer of RateGain Travel Technologies was subscribed 17.41 times on final day of issue

RateGain Travel Technologies IPO Subscribed 17.41 Times On Final Day Of Issue

The IPO of RateGain Travel Technologies was subscribed17.41 times on final day of issue

The initial public offer (IPO) of RateGain Travel Technologies was subscribed 17.41 times, as it received bids for 30.20 crore equity shares against the IPO size of 1.73 crore equity shares on the final day of its subscription.

Qualified institutional investors, for whom 75 per cent of the offer is reserved, had been subscribed 8.42 times.

The reserved portion of non-institutional investors was booked 42.04 times, and that of employees saw 1.37 times subscription.

The public offer received a strong response from retail investors, whose portion was subscribed 8.08 times.

RateGain Travel Technologies is planning to raise Rs 1,335.74 crore from the IPO which consists of an offer for sale of Rs 960.74 crore and fresh issue of Rs 375 crore. Under the offer for sale (OFS) its investor Wagner Limited along with its promoters Bhanu Chopra, Megha Chopra and Usha Chopra are offloading over 2.2 crore shares.

Promoters' shareholding stands at 65.4 per cent, which will come down to 55 per cent after the issue.

The company is planning to sell shares in the price band of Rs 405-425 per equity share and a retail investor can bid for minimum one lot of 35 shares and up to maximum of 13 lots. One lot of RateGain Travel Technologies shares in the IPO will cost Rs 14,875.

Up to 75 per cent of the issue is reserved for qualified institutional buyers, 15 per cent for non-institutional investors and 10 per cent for retail investors.

The company will use the proceeds from the IPO to repay debts availed by Rategain UK, make payment of deferred consideration for acquisition of DHISCO, strategic investments, acquisition, and inorganic growth, to make investment in technology innovation, artificial intelligence, and other organic growth initiatives, purchase capital equipment for the company's data center and to meet general corporate purposes.

Rategain Travel Technologies is one of the leading distribution technology companies globally and the largest Software as a Service (SaaS) provider in the travel and hospitality industry in India. The firm offers travel and hospitality services across different verticals like hotels, airlines, online travel agents, meta-search companies, package providers, car rentals, cruises and ferries.

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