Easy Trip Planners share sale through initial public offering (IPO) was subscribed 7.20 times by the end of the second day of bidding, according to subscription data on the exchanges. The online travel agency’s IPO was subscribed 2.33 times by the end of the first day of bidding – March 8. Retail investors showed overwhelming interest in the IPO as the portion reserved for them was subscribed 32.71 times, on March 9 by 5:00 pm. The portion set aside for non-institutional buyers was subscribed 4.05 times, while the qualified institutional buyers are yet to subscribe. (Also Read: Easy Trip Planners IPO Subscribed 2.33 Times On First Day Of Subscription )
Easy Trip Planners is selling shares in the price band of Rs 186-187 per share. Through its public issue, Easy Trip plans to raise Rs 510 crore at the higher end of the price band. Easy Trip Planners IPO subscription window opened on March 8 and will close on March 10, remaining open for a period of three days. The shares of the online travel company are proposed to be listed on the BSE and NSE on March 19, 2021.
“At the higher end of the price band, Easy Trip Planners IPO is priced at a PE ratio of ~59 times FY20 earnings per share (on a trailing basis). While this seems to be aggressively priced, the company has posted robust growth in topline and bottomline over the last few years. The company has been consistently profitable since incorporation, and posted a healthy net margin of 23 per cent in FY20, even as peers made losses,” INDmoney said in a report.
The expectations of a quick rollout of the vaccine would also improve outlook for the company’s business going forward. Given strong revenue and profit growth over the last few years, stable margins, good return ratios, asset-light model, and robust growth outlook, we remain positive on the prospects of the issue,” the report added.
Easy Trip Planners is the country’s largest online travel agency in terms of gross revenue. It was incorporated in 2008 and provides a range of travel services as well as end-to-end travel solutions such as rail tickets, airline tickets, bus tickets, taxis, holiday packages etc. It also offers value-added services such as travel insurance, visa processing. Its traveling services can be availed through its website or its Android and IOS mobile apps.
Meanwhile, investors can apply for a minimum of one lot of 80 equity shares and a maximum of 13 lots.