TBO Tek IPO price band fixed at ₹875 to ₹920 per share: 5 key factors to know ahead of subscription
Upstox
3 min read • Updated: May 3, 2024, 12:47 PM
Summary
The TBO Tek IPO is a 100% book-built issue of total size of ₹1,550.81 crore. The IPO is a combination of a fresh issuance of 43 lakh shares aggregating to ₹400 crore and offer-for-sale (OFS) of 1.25 crore shares aggregating to ₹1,150.81 crore. TBO Tek IPO subscription window will remain open from May 8 to May 10 for public bidders.
Travel distribution platform TBO Tek Ltd is set to launch its initial public offering (IPO) next week. On May 3 (Friday), the company announced the price band of the mainline IPO for investors.
If you are interested in the TBO Tek IPO, here are the five most important things you should know about the issue before investing your money into it:
Price band of TBO Tek IPO
TBO Tek has set the price band of ₹875 to ₹920 per share of face value of ₹1 each for its issue. The lot size, or the minimum bid amount, is 16 shares. This translates into a minimum application amount of ₹14,720 for retail investors.
TBO Tek IPO offer size
The TBO Tek IPO is a 100% book-built issue of total size of ₹1,550.81 crore. The IPO is a combination of a fresh issuance of 43 lakh shares aggregating to ₹400 crore and offer-for-sale (OFS) of 1.25 crore shares aggregating to ₹1,150.81 crore.
TBO Tek IPO dates
The TBO Tek IPO opens for subscription on Wednesday, May 8, and closes on May 10. The share allotment status IPO is expected to be finalised on May 13.
Bidders who are successfully allotted shares can expect them to be credited to their demat accounts by May 14. TBO Tek shares will list on both BSE and the National Stock Exchange of India (NSE) on May 15.
Axis Capital Ltd, Jefferies India Pvt Ltd, Goldman Sachs (India) Securities Pvt. Ltd and Jm Financial Limited are the book-running lead managers of the TBO Tek IPO, while Kfin Technologies Ltd is the registrar for the issue.
TBO Tek IPO objective
TBO Tek had earlier informed that it intends to utilise the net proceeds from the issue towards the funding of expansion of the supplier and buyer base. It also plans to use the funds for amplification of the value of its platform by adding new lines of businesses.
A part of the proceeds will also be used for inorganic growth through selective acquisitions and building synergies with the company’s existing platform. The company is also planning to leverage data procured to offer bespoke travel solutions to its buyers and suppliers.
About TBO Tek
Formerly known as Tek Travels Pvt. Ltd, TBO Tek was incorporated in 2006. It is a travel distribution platform that offers travel inventory according to the needs of its customers and supports a wide range of currencies along with forex help.
TBO Tek’s platform enables sellers to show and market their inventory and set prices for buyers. For buyers, the platform is an integrated, multi-currency and multilingual, one-stop solution that helps them discover and book travel to destinations around the world, across various travel segments such as leisure, business and religious travel.
The company’s revenue doubled in the 2022-23 to ₹1,085.77 crore from ₹511.93 crore in 2021-22. Profit after tax (PAT) grew multifold in FY23 to ₹148.5 crore compared with ₹33.7 crore in FY22.
In FY24, for the nine months ended December, TBO Tek recorded a revenue of ₹1,039.5 crore and PAT of ₹154.18 crore.