The Price Band of the Offer has been fixed at Rs875 to Rs920 per Equity Share
FinTech BizNews Service
Mumbai, May 3, 2024: TBO Tek Limited shall open bids for its initial public offering of Equity Shares on Wednesday, May 08th, 2024. The Offer will close on Friday May 10th, 2024. The Anchor Investor Bidding Date shall be on Tuesday May 07th, 2024.
The Price Band of the Offer has been fixed at Rs875 to Rs920 per Equity Share. Bids can be made for a minimum of 16 Equity Shares and in multiples of 16 Equity Shares thereafter (“Price Band”).
The Offer comprises of fresh issue of Equity Shares aggregating to Rs4,000.00 million [Rs400.00 Crore] ( the “Fresh Issue”) and an Offer of Sale by certain shareholders of up to 12,508,797 Equity Shares (the “Offer for Sale”, and together with the Fresh Issue, the “Offer”) (“Total Offer Size”).
The Company proposes to utilized net proceeds of the Fresh Issue portion of the Offer towards (i) Growth and Strengthening of its platform by adding new Buyers (defined below) and Suppliers which shall include (a) Rs1,350.00 million [Rs135 crore] towards investment in technology and data solutions by the Company, (b) Rs1,000.00 million Rs100 crore] towards investment in its Material Subsidiary, Tek Travels DMCC, for onboarding platform users through marketing and promotional activities, and hiring sales and contracting personnel for augmenting the Supplier and Buyers based outside India, (c) Rs250.00 million [Rs25 crore] investment in sales, marketing and infrastructure to support organization’s growth plans in India; and (ii) Unidentified inorganic acquisitions and towards general corporate purpose amounting to Rs400.00 million [Rs40.00 crore]. (“Objects of the Offer”)
The Offer for Sale comprises of up to 2,033,944 Equity Shares by Gaurav Bhatnagar, up to 572,056 Equity Shares by Manish Dhingra, up to 2,606,000 Equity Shares by LAP Travel Private Limited (collectively referred to as “Promoter Selling Shareholders”); up to 2,637,040 Equity Shares by TBO Korea Holdings Limited and up to 4,659,757 Equity Shares by Augusta TBO (Singapore) Pte. Ltd. (together referred to as the “Investor Selling Shareholders”). (The Promoter Selling Shareholders and Investor Selling Shareholders, together referred to as the “Selling Shareholders”)
The Offer includes a reservation of up to Rs30 million [Rs3 crore] for subscription by eligible employees (“Employee Reservation Portion”).
The Equity Shares are being offered through the red herring prospectus dated April 28, 2024 (“Red Herring Prospectus” or “RHP”) filed with the Registrar of Companies, Delhi and Haryana at New Delhi (“RoC”).
he TBO platform connects over 159,000 Buyers across more than 100 countries with over one million Suppliers, as of December 31, 2023. TBO supports a wide range of currencies along with forex assistances (Source: 1Lattice Report).
TBO simplifies the business of travel for suppliers such as hotels, airlines, car rentals, transfers, cruises, insurance, rail and others (collectively, “Suppliers”), and retail buyers such as travel agencies and independent travel advisors (“Retail Buyers”); and enterprise buyers that include tour operators, travel management companies, online travel companies, super-apps and loyalty apps (together with Retail Buyers, “Buyers”) through their two-sided technology platform that enables Suppliers and Buyers to transact seamlessly with each other. TBO’s platform allows the large and fragmented base of Suppliers to display and market inventory to, and set prices for, the large and fragmented global Buyer base. For Buyers, the platform is an integrated, multi-currency and multi-lingual one-stop solution that helps them discover and book travel for destinations worldwide, across various travel segments such as leisure, corporate and religious travel.
Axis Capital Limited, Goldman Sachs (India) Securities Private Limited, Jefferies India Private Limited and JM Financial Limited are the Book Running Lead Managers to the Offer (“BRLMs”).
