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Le Travenues Technology Limited IPO Review: Ixigo or Le Travenues Technology Limited’s IPO is coming up with an IPO worth INR 740.10 crores, consisting of a fresh issue of INR 120 crores and an offer to sell 620.10 crore shares. The company aims to finance working capital, invest in cloud infrastructure, and pursue growth through strategic acquisitions.
Le Travenues Technology Limited IPO – Important Dates
| Ixigo IPO Date | June 10, 2024, to June 12, 2024 |
| Ixigo IPO Listing Date | June 18, 2024 |
| Ixigo IPO Price | INR 88-93 per share |
| Ixigo IPO Lot Size | 161 Shares |
| Ixigo IPO Total Issue Size | INR 740.10 crores |
| Ixigo IPO Basis of Allotment | June 13, 2024 |
| Ixigo IPO Initiation of Refunds | June 14, 2024 |
| Ixigo IPO Credit of Shares to Demat | June 14, 2024 |
| Ixigo IPO Issue Type | Book Built Issue IPO |
| Ixigo IPO Listing At | BSE, NSE |
Le Travenues Technology Limited IPO – Company Profile
Through AI, ML, and data science advancements on its OTA platforms, Le Travenues Technology Limited enables Indian passengers to plan, book, and manage travel by rail, air, buses, and hotels, increasing travel selections for more innovative travels.
With an emphasis on tech-driven innovation and the “following billion user” market, their goal is to become the leading customer-centric travel company. Their OTA platforms use crowdsourced data and proprietary algorithms to provide smooth booking and enhanced travel experiences.
From their beginnings as a travel metasearch engine, they have evolved into an OTA and utility platform. From fiscal years 2021 to 2023, they have drawn millions of first-time bookings through clever marketing campaigns and organic traffic. The managing director of the company is Mr. Aloke Bajpai.
To check Le Travenues Technology Limited (Ixigo) RHP – Click here
Le Travenues Technology Limited IPO Fundamental Analysis
The fundamental study of Ixigo shows a varied record of performance. Even while there are encouraging indicators, such increasing equity and assets, issues with liquidity, falling profitability, and shifting financial ratios are cause for concern. Before thinking about making an investment in the IPO, potential investors should perform extensive due research.
- Revenue Trend: The income rose from ₹3,795.80 million in March 2022 to ₹5,012.50 million in March 2023. The current year’s revenue for the nine months ending December 2023 is INR 4,910.21 million.
- Equity and Liabilities: Both equity and total liabilities have steadily increased over time, indicating future growth and expansion.
- Profitability: The profit after tax (PAT) climbed from ₹1(201.94) million in March 2022 to ₹657.12 million in December 2023.This boost in profitability could reassure investors.
- Earnings per Share (EPS): The diluted EPS increased from ₹(0.66) in March 2022 to ₹1.75 by December 2023, indicating better earnings per share for investors.
- Return on Net Worth (RoNW): The RoNW has risen from (7.15%) to 5.74%, demonstrating an improvement in the company’s ability to create returns on shareholder equity.
- Financial Position: Total assets have increased, indicating future business growth.
Le Travenues Technology Limited IPO Financial Analysis
| Particular | As of 31 March 2022 | As of 31 March 2023 | As of 31 December 2023 |
| Revenue (₹ in millions) | 3,795.80 | 5,012.50 | 4,910.21 |
| Equity (₹ in millions) | 3,426.86 | 3,871.19 | 4,371.27 |
| Expenses (₹ in millions) | 4,025.41 | 4,842.92 | 4,754.83 |
| Profit and Loss After Tax (₹ in millions) | (201.94) | 233.96 | 657.12 |
| Diluted EPS only (₹) | (0.66) | 0.57 | 1.75 |
| Return on Net Worth (%) | (7.15) | 5.74 | 15.26 |
| NAV per Equity Share (₹) | 9.29 | 9.79 | 11.43 |
| Total Assets (in millions) | 5,384.71 | 5,859.25 | 6,787.07 |
| Total Liabilities (in millions) | 1,957.85 | 1,988.06 | 2,415.81 |
Le Travenues Technology Limited IPO Peer Comparison
Le Travenues Technology Limited outperforms the other listed firms in terms of sales and profitability, while Easy Trip Planners Limited has good earnings and a high P/E ratio of 61.83. Yatra Online Limited has a high income but low EPS and RoNW.
| Company | Total Income (₹ in lakhs) | Face Value (₹) | P/E (₹) | EPS (Basic) (₹) | EPS (Diluted) (₹) | RoNW (%) | NAV per Equity Share (Basic) (₹) |
| Le Travenues Technology Limited (Ixigo) | 5,175.73 | 1 | NA | 0.58 | 0.57 | 5.74 | 9.79 |
| Easy Trip Planners Limited | 4,641.98 | 1 | 61.83 | 0.77 | 0.77 | 36.2 | 2.13 |
| Yatra Online Limited | 3,974.65 | 1 | 244.13 | 0.69 | 0.69 | 4.50 | 14.80 |
Le Travenues Technology Limited IPO Objective
The primary goal of Le Travenues Technology Limited is to devote resources to working capital, cloud infrastructure, technology improvements, and strategic expansion activities.
- Part-funding working capital requirements of the company: Le Travenues Technology wants to use up to INR 45 crores of Net Proceeds to meet their company’s working capital requirements in fiscal years 2025 and 2026.
- Investments in cloud infrastructure and technology: The company intends to use INR 25.80 crores to pay its financial obligations efficiently, employing scalable infrastructure and cautious financial management, including cloud-based technology and AI tools such as ixigo PLAN.
- Funding inorganic growth through acquisition and other strategic initiatives and general corporate purposes:
- The company intends to diversify its travel products, which will include tours, activities, and insurance, through strategic alliances and acquisitions. It aims to be a comprehensive travel solution that increases user engagement and provides a variety of services.
- The balance funds will be used to support the company’s overall goals, which include growing into new business lines, growth prospects, marketing, costs, contingencies, staff, and other initiatives.
Le Travenues Technology Limited IPO Risks and Challenges
Ixigo’s risks include a lack of OTA experience during its changeover in 2020 and subsequent expansion into hotels in 2024. Dependence on IRCTC agreements, as well as system outages, pose operational and financial risks.
- It began in 2007 as a meta-search service, providing travelers with pooled bargains and flight bookings via third-party sites. Their minimal OTA experience raises operational concerns as they transition to an OTA model in 2020 and grow into hotels by 2024.
- Their business is primarily reliant on their arrangement with IRCTC, which was renewed until April 30, 2028 and for e-ticket booking until January 11, 2025. Violations may result in sanctions or termination, affecting business operations and finances.
- System outages, including third-party failures, may disrupt their services, affecting partners such as airlines and IRCTC. Vulnerabilities in technology infrastructure, AI ethics standards, and reliance on mobile platforms all offer problems.
Le Travenues Technology Limited IPO – Industry & Market Potential
In 2023, the worldwide travel and tourism sector will contribute USD 9.5 trillion to the economy. APAC led in job creation, while India’s tourism spending and GDP contribution show potential growth, with 7% predicted by 2031. The sector is expected to increase at a CAGR of 7-9% from 2019 to 2028.
Indian OTAs are shifting income streams as they transition from airline aggregators to hotel and other industries in response to declining airline margins. Higher profits and growth have propelled the hotel and bus divisions to prominence, challenging longstanding supremacy.
The Indian travel market is expected to expand by 8%, with online travel increasing by 12% due to digital improvements. OTAs predict a healthy 16% growth rate, driven by the rail and bus categories, with a CAGR of 17% to 18%.
Le Travenues Technology Limited IPO – Type of Offer
Le Travenues Technology Limited would issue a fresh INR 120 crores and offer to sell 620.10 crore shares to current shareholders.
1. Fresh Issue: To raise cash, the company will issue additional shares with the aim of collecting INR120 crores. The corporation intends to use it to allocate resources for working cash, cloud infrastructure, technology improvements, and strategic growth activities.
2. Offer for sale: Le Travenues is offering to sell 620.10 crore of its existing shares. The selling shareholder’s information are as follows:
| Name of the selling shareholder | Number of shares offered |
| SAIF Partners India IV Limited | 1.94 crores |
| Peak XV Partners Investments V | 1.30 crores |
| Aloke Bajpai | 1.20 crores |
| Rajnish Kumar | 1.20 crores |
| Micromax Informatics Limited | 54.87 lakhs |
| Placid Holdings | 30.48 lakhs |
| Catalyst Trusteeship Limited | 13.34 lakhs |
| Madison India Capital HC | 4.47 lakhs |
Le Travenues Technology Limited IPO Allotment Structure
According to SEBI standards, Ixigo will allocate 75% of its funds to Qualified Institutional Buyers (QIB), 15% to Non-Institutional Investors (NII), and 10% to Retail Individual Investors (RII). A portion of the proceeds are also set aside for qualifying employees.
● Qualified Institutional Buyers (QIB): According to SEBI norms, 75% of the shares sold during the IPO would be reserved for Qualified Institutional Buyers. These include banks, mutual funds, and insurance businesses.
● Non-Institutional Investors (NII): Non-institutional investors will receive 15% of the shares. These often include corporate entities or individuals who invest more than Rs.2 lakhs.
● Retail Individual Investors (RII): The remaining 10% of the shares will be allocated to retail individual investors. These individual investors apply for shares worth less than Rs. 2 lakhs.
● Eligible Employees: A portion of the issue is reserved for eligible employees.
Le Travenues Technology Limited IPO GMP
| IPO OPEN TO CLOSE DATE | IPO PRICE | LATEST GMP | ESTIMATED LISTING GAIN |
| 10 June to 12 June 2024 | 93 | 26 | 119 (27.96%) |
View Live GMP of All IPOs – Live GMP
Note: The information associated with the IPO is for educational purposes only. Consider with your financial advisor before investing in an IPO.
