Wise Travel India makes stellar debut on NSE with 32% premium to IPO price

Cab rental services provider Wise Travel India Ltd, also known as WTI Cabs, made a stellar debut on the National Stock Exchange SME platform on Monday. The stock listed at a premium of 32% over the issue price.

According to NSE data, the stock listed at a price of ₹195 per share against the issue price of ₹147 per share, showing gains of 32%.

Around 17.55 lakh shares, worth ₹34 crore, changed hands on NSE in the first 20 minutes of the market's opening, reflecting heavy stock trading.

The company's market valuation stood at around ₹64 crore at the current trading price.

The stock later rallied 5% further from the listing price to hit a high of ₹204.75 on strong demand from investors.

Wise Travel India Ltd IPO subscription, price band and other key details

Car rental and transportation services provider Wise Travel India Ltd (WTI) hit the capital market on February 12 to raise around ₹94.68 crore through an initial public offering. The public offer was open for subscription until February 14.

In the three days of bidding, the WTI Cabs IPO was subscribed 148.45 times on Wednesday (February 14). The offer garnered total bids of 69,12,06,000 against the net issue size of 46,56,000 equity shares.

The issue was oversubscribed on the first day of the offer on February 12 due to strong demand from retail investors.

The qualified institutional investor's category received bids for 12,70,65,000 equity shares as against the quota of 29,76,000 equity shares, showing an oversubscription of around 43 times.

Similarly, the non-institutional investors’ (NIIs) category received applications for 33,61,86,000 equity shares compared to 8,94,000 equity shares on offer, reflecting a subscription of 376 times.

The retail individual investors’ category also saw strong demand as the investors submitted bids for 22,66,49,000 equity shares as against the quota of 20,84,000 equity shares, resulting in subscription of 108 times.

The Wise Travel India IPO price band was fixed at ₹140 to ₹147 per share. The minimum lot size was 1,000 equity shares. The minimum investment in the offer was ₹1,47,000 at the upper price band.

The company set aside 4,38,000 equity shares for market makers and 17,85,000 equity shares for anchor investors out of the total offer size. The maximum subscription amount for retail investors was ₹2,00,000. For company employees, the maximum subscription limit was ₹5,00,000. Share India Capital Services Pvt Ltd was the book running lead manager of the issue.

Wise Travel India on February 9 raised ₹26.23 crore from anchor investors ahead of the launch of the public offer on the National Stock Exchange SME platform. The company allocated 17.85 lakh shares to six anchor investors at the upper limit of the price band of ₹147 per share.

The fresh issue of Wise Travel India Ltd is aimed at meeting the working capital requirements of ₹73 crore and general corporate expenses of ₹8 crore, besides meeting IPO related expenses.

The promoter and promoter shareholding has decreased to 69.76% from 95.63% pre-IPO following the public issue. The company is promoted by Ashok Vashist, Hema Bisht and Vivek Laroia.

About Wise Travel India Ltd

New Delhi-based Wise Travel India (WTI) provides transport and car rental services across 130 cities in India. Its services include car rental, end-to-end employee transport solutions (MSP), employee transportation, flexible fixed/monthly rental plans, fleet management, airport counters, mobility services for MICE, cutting-edge mobility tech solutions, project mobility solutions, sustainable mobility and strategic consulting and advisory on mobility among others.

The company offers a range of rental cars, such as executive cars, luxury cars, SUVs, sedans and coaches. The company has 784 employees, including directors, on its payroll as of 31 October 2023.

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