TBO Tek had an impressive market debut today, with its share price soaring on both the NSE and BSE. On the NSE, TBO Tek shares opened at Rs1,426 each, marking a substantial 55% increase from the issue price of ₹920. Similarly, on the BSE, the opening price was ₹1,380 per share, representing a notable 50% surge compared to the issue price. This remarkable performance on both stock exchanges underscores strong investor interest and confidence in TBO Tek’s prospects. The substantial gains reflect positive sentiment towards the company’s offerings and its potential for growth in the market. The enthusiastic response from investors highlights TBO Tek’s successful entry into the bourses and sets a promising trajectory for its future performance in the stock market.
Market experts anticipated TBO Tek share price to open in the range of ₹1,360 to ₹1,400 per share.
TBO Tek’s initial public offering received 86.70 subscriptions on Friday, the final day of subscriptions, according to NSE statistics. The segment designated for qualified institutional buyers (QIBs) received 125.51 times more subscriptions, while the non-institutional investor group received 50.60 times as many subscribers. The segment for retail individual investors (RIIs) attracted 25.74 times as many subscriptions.
The pricing range for each equity share in the offering, with a face value of Re 1, is set between ₹875 and ₹920. Each lot in the IPO consists of 16 equity shares, and additional lots of 16 equity shares will be issued in the future. The IPO has allocated 75% of the net offer for Qualified Institutional Buyers (QIBs), 15% for Non-Institutional Investors (NIIs), and 10% for retail investors. Additionally, equity shares worth up to ₹3 crore have been reserved for employees.
The company specializes in streamlining the travel industry, catering to a wide range of suppliers including lodging facilities, airlines, rental cars, transfers, cruise lines, insurance, and rail companies. Its clientele spans from retail customers such as travel agencies and independent travel advisors, to corporate clients such as tour operators, travel management organizations, online travel agencies, super apps, and loyalty apps. Through its two-sided technology platform, the company facilitates seamless communication, providing equal benefits to all parties involved.
TBO Tek IPO details
TBO Tek is gearing up for its IPO, valued at ₹1,550.81 crore. The IPO consists of a fresh issue of ₹400 crore and an offer-for-sale (OFS) of up to 12,508,797 equity shares of face value Re 1 each, by the company’s promoters and other investors.
The promoters, including Manish Dhingra, LAP Travel, and Gaurav Bhatnagar, will offer 52.12 lakh shares through OFS. Additionally, Augusta TBO and TBO Korea, two significant investors holding 19.53 percent and 11.06 percent respectively, will sell 72.96 lakh shares.
As per the Red Herring Prospectus, corporate promoters own 51.26 percent of the online travel distributor, while public shareholders own 46.43 percent. Augusta TBO, the largest public investor, holds 19.53% of the shares. General Atlantic owns 15% of the company’s total paid-up capital.
TBO Korea owns 11.06 percent of the company, while promoters and public shareholders collectively own 98.54 percent. The TBO ESOP Trust owns the remaining 2.31 percent.
The proceeds from the IPO will be used to expand the network of buyers and suppliers, enhance the platform’s value by adding new business categories, leverage acquired data to offer customized travel solutions, and pursue inorganic growth through strategic acquisitions and synergies with the current platform.
Axis Capital Limited, Jefferies India Private Limited, Goldman Sachs (India) Securities Private Limited, and Jm Financial Limited are the book running lead managers, with Kfin Technologies Limited serving as the issue registrar.
TBO Tek IPO GMP today
TBO Tek’s IPO grey market premium is +350. TBO Tek’s share price was selling at a ₹350 premium in the grey market, according to investorgain.com.
The estimated listing price for the TBO Tek IPO is ₹1,270 per share, 38.04% more than the IPO price of ₹920, given the upper end of the IPO price band and the existing premium on the grey market.
Based on the previous 16 sessions of grey market activity, the IPO GMP for today suggests an upward trend and a strong listing. Investorgain.com reports that the GMP ranges from ₹0 to ₹540.
