RateGain Travel Technologies has disclosed its intention to raise funds via a qualified institutions placement (QIP), with a floor price set at ₹676.66 per share. The company’s board greenlit the QIP in a meeting held on Wednesday, November 15.
In a regulatory filing to the stock exchanges, RateGain Travel stated, “The board approved the preliminary placement document dated November 15, 2023, together with the application form in connection with the proposed qualified institutions placement of equity shares of ₹1 each (“equity shares,” and such qualified institutions placement, the “issue”).”
The floor price of ₹676.66 per equity share was determined based on the pricing formula prescribed under Regulation 176 of the SEBI ICDR Regulations, as mentioned in RateGain’s filing. The SaaS company also mentioned that it would offer a discount of up to 5% on the floor price calculated for the issue.
RateGain Travel Tech further explained, “The company may offer a discount of not more than 5 percent on the floor price so calculated for the issue. The issue price will be determined by the company in consultation with the Book Running Lead Managers appointed in relation to the issue.”
According to reports from CNBC TV-18, the company aims to raise ₹600 crore through the QIP, including a ₹200 crore greenshoe option, resulting in an 8% equity dilution through the issue. Axis Capital and IIFL Capital have been appointed to manage the issue, as reported by the media channel.
RateGain Travel Tech recently launched ‘World-on-Holiday,’ an insights center designed to assist micro, small, and medium-sized travel businesses and professionals in tracking travel trends globally.
On the BSE, RateGain Travel Tech’s shares concluded 0.89% lower at ₹711.75 apiece on Wednesday.
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