Yatra Online shares list at 10% discount to IPO price
Yatra Online listed at a discount of 10.2% to the issue price of Rs 142 on NSE at Rs 127.5 in Thursday's trade. Meanwhile, on BSE, the stock debuted at Rs 130, a discount of 8.4%
Backed by retail and QIB investors, the initial public offering of Yatra Online was subscribed 1.61 times on the last day of bidding.
The issue received bids of 4,98,92,430 shares against the offered 3,09,42,356 equity shares.
Yatra Online offers a comprehensive range of travel and travel-related products and services catering to the needs of passengers travelling domestically, as well as travelling to and from international destinations.
The company provides customers with various tools and information that they need to research, plan, book and purchase travel products and services in India as well as outside India.
Ahead of the issue opening, the company raised Rs 62 crore in pre-IPO placement via the rights issue. The Rs 775-crore IPO included a fresh equity issue worth Rs 602 crore and an offer for sale (OFS) of up to 1.21 crore shares.
Analysts say the company is well-positioned to capture a significant share as India's travel and tourism industry grows.
With the growth in the tourism industry, they expect the online travel market share (OTA) to increase faster than captive players, improving the company's profitability.
The Indian travel industry is expected to grow at a 9-11% CAGR during FY23-28 period to reach Rs 4.54 lakh crore in FY28, driven by the development of tourism infrastructure, rising income levels translating into higher discretionary spending on travel and tourism, and an increase in the frequency of travel for business and leisure purposes.
For the year ended March 2023, the company clocked revenue growth of 81%
