Ixigo IPO Starts June 10: 10 Key Details from the Red-Herring Prospectus

Ixigo is launching its IPO on June 10. Here’s a simple breakdown of what you need to know.

Allocation of Shares:

  • Qualified Institutional Buyers (QIBs): 75% of the shares.
  • Non-Institutional Investors: 15% of the shares.
  • Retail Investors: 10% of the shares.

Investment Details:

  • Minimum Bid: Investors can start with a minimum of 161 shares.
  • IPO Size: The IPO includes a fresh issue of equity shares worth ₹120 crore and an Offer for Sale (OFS) of ₹620 crore, making a total of ₹740 crore.

Use of Funds:

  • Working Capital: ₹45 crore will go towards the company’s daily operational needs.
  • Technology & Data Science: ₹26 crore will be used for tech improvements like AI and cloud hosting.
  • Acquisitions & General Purposes: The rest will be for buying other companies and general business needs.

Key Managers:

  • Lead Managers: Axis Capital, Dam Capital Advisors, and JM Financial.
  • Registrar: Link Intime India.

Grey Market Premium (GMP):

  • Current GMP: The shares are trading at the issue price of ₹93, with no premium or discount.

Major Shareholders Selling in OFS:

  • SAIF Partners: 19.44 million shares.
  • Peak XV Partners: 13.02 million shares.
  • Micromax Informatics: 5.49 million shares.
  • Others: Including the company’s founders, Aloke Bajpai and Rajnish Kumar, selling 11.95 million shares each.

Company Structure:

  • Ixigo values a flat organizational structure and entrepreneurial culture to keep operating costs low and maintain growth.

Services Offered:

  • Ixigo provides a range of travel-related services including ticket booking for trains, flights, buses, and hotels. They also offer value-added services like seat selection, travel insurance, and car rentals.

Market Position:

  • Competitors: Easy Trip Planners (P/E of 54.96) and Yatra Online (P/E of 187.83).
  • Business Focus: Ixigo aims to cater to ‘next billion users’ from smaller towns and rural areas, offering travel services powered by technology.

Industry Outlook:

  • Growth: The Indian travel market is expected to grow from ₹3.8 trillion in 2023 to ₹5.8 trillion by 2028. The online travel agency (OTA) market is also set to grow significantly, recovering from a slowdown during the pandemic.


  • Pricing and Market Performance: The share price might not reflect the company’s actual market value immediately or in the future.
  • Dependency on IRCTC: Ixigo’s train ticketing services depend on its agreement with IRCTC, which, if terminated, could negatively impact the company.


  • Revenue: Ixigo’s income grew to ₹517 crore in the year ending March 2023, up from ₹385 crore the previous year.
  • Profit: The company reported a profit of ₹23.4 crore, improving from a loss of ₹21 crore the previous year.

Anchor Investors:

  • Lock-In Period: Anchor investors’ shares will be locked for 90 days for 50% of their shares and 30 days for the rest after allocation.

Keep these key points in mind as Ixigo gears up for its public offering on June 10.


Disclaimer: The views and investment tips expressed by investment experts on Sharepriceindia.com are their own and not those of the website or its management. Sharepriceindia.com advises users to check with certified experts before taking any investment decisions.​​

We will be happy to hear your thoughts

      Leave a reply

      Share Price India News