IPOs ahead: Gurugram-based travel booking platform ixigo and steel wire manufacturer Bansal Wire Industries have obtained the Securities and Exchange Board of India's (SEBI) approval to raise funds through Initial Public Offerings (IPOs), according to an update from the market regulator on Wednesday.
Both companies filed their preliminary IPO documents with SEBI in February and March and received their observations between May 14 and May 17. In SEBI's terminology, obtaining observations indicates the regulator's green light to proceed with public issues.
Le Travenues Technology IPO Details
Le Travenues Technology Ltd, which operates ixigo, is set to launch an IPO comprising a fresh issue of equity shares worth Rs 120 crore and an Offer For Sale (OFS) of 6.66 crore equity shares by existing shareholders, as outlined in their Draft Red Herring Prospectus (DRHP).
The shareholders participating in the OFS include SAIF Partners India IV Ltd, Peak XV Partners Investments V (formerly known as SCI Investments V), Micromax Informatics Ltd, Placid Holdings, Catalyst Trusteeship Ltd, Madison India Capital HC, Aloke Bajpai, and Rajnish Kumar.
Proceeds from the fresh issue will be allocated as follows:
- Rs 45 crore for working capital requirements
- Rs 26 crore for technology and data science investments, including cloud and server hosting, AI technology, and customer engagement
- Additional funds will support inorganic growth through acquisitions and general corporate purposes
- Additionally, the company plans to raise up to Rs 24 crore in a pre-IPO round, which would reduce the size of the fresh issue if undertaken.
Founded in 2007 by Aloke Bajpai and Rajnish Kumar, ixigo assists travelers in planning, booking, and managing trips across rail, air, bus, and hotel services. The company reported a total income of Rs 517 crore for the financial year ending March 2023, up from Rs 385 crore the previous year, with a profit of Rs 23.4 crore compared to a loss of Rs 21 crore in the previous fiscal year.
Bansal Wire Industries IPO Details
Bansal Wire Industries is preparing a fully fresh issue of equity shares worth Rs 745 crore, with no OFS component. The funds raised will be used to pay off debt, support working capital requirements, and cover general corporate expenses.
The company specialises in manufacturing and exporting steel wires, operating in high carbon steel wire, mild steel wire (low carbon steel wire), and stainless steel wire segments. Bansal Wire Industries is also planning to expand into specialty wires with a new plant in Dadri, aimed at boosting its market presence in the coming years.
Other Developments
In other updates, SEBI returned the draft IPO document of Vasuki Global Industries on May 16 without providing a reason. Vasuki Global Industries had filed the draft papers last month. Additionally, Raghuvir Exim Ltd withdrew its draft IPO papers on May 13, following their filing in April.