New Delhi: RateGain Travel Technologies Ltd -- a leading distribution technology company in the world will be launching its first Initial Public Offering (IPO) on December 7,2021.
The issue can be subscribed till December 9 and the company has fixed a price band of Rs 405-425 per share having face value of Rs 1.
The issue of RateGain Travel Tech will consist of a fresh issue of Rs 375 crore and 2,26,05,530 equity shares in the offer for sale.
Investor Wagner will sell 1.71 crore equity shares through offer for sale. While promoters Bhanu Chopra, Megha Chopra and Usha Chopra will sell 54.91 lakh equity shares.
In this offer, 5 crore shares have been kept in reserve for the employees of the company. Employees will get the issue at a discount of Rs 40 per share.
The company plans to raise Rs 1335.73 crore from the issue.
At a time, investors can put their bids for a minimum lot size of 35 equity shares and in multiples of 35 shares thereafter. On the other hand, retail investors can invest a minimum of Rs 14,875 for one lot, and their maximum investment would be Rs 1,93,375 for 13 lots.
RateGain IPO GMP Today
The Grey Market Premium (GMP) of RateGain is Rs 120-130
Where the Funds will be used?
The company will use the money raised from the fresh issue to repay the loan taken by the subsidiary company RateGain UK. It will also pay for the acquisition of DHISCO. The company will use some of the fresh issue proceeds for strategic investments, acquisitions and inorganic growth.
A part of the funds raised from the company's fresh issue will be used for technology innovation, artificial intelligence and other organic growth activities. Along with this, the funds will also be used in the data center and other operations of the company.
What does the company do?
The company engaged in providing software services to the travel industry. It also provides its services to meta search companies, vacation rentals, package providers, car rentals, rail, travel management companies, cruises and ferries. It is the world's largest data points aggregator in the hospitality and travel industry.