The issue consists of issuance of fresh equity shares worth Rs 375 crore, whereas existing shareholders and promoters will offload 22,605,530 equity shares.
RateGain Travel Technologies is one of the leading distribution technology companies globally and the largest SaaS provider in the travel and hospitality industry in India.
Investors can bid for a minimum of 35 equity shares and in multiples of 35 thereof. The issue can be subscribed till December 9, Thursday. The company is eyeing to raise Rs 1,336 crore via primary route.
The company has allocated equity shares worth Rs 5 crore for its eligible employees and will give a discount of Rs 40 per share for eligible employees bidding in the portion reserved for them.
The firm offers travel and hospitality services across different verticals like hotels, airlines, online travel agents, meta-search companies, package providers, car rentals, cruises, and ferries.
As of 30 June, it had over 1,400 clients, including eight global Fortune 500 companies. Its customers include Six Continents Hotels, luxury hotel chain Kessler Collection, Lemon Tree Hotels and Oyo Hotels and Homes.
RateGain caters to 1,186 large- and mid-size hotel chains, 104 travel partners, such as airlines, car rentals and cruise companies, besides over 144 distribution partners and companies such as Sabre GLBL Inc across 110 countries as of 30 June.
75 per cent of the net issue is reserved for qualified institutional buyers (QIBs), whereas non-institutional buyers will have 15 per cent shares allocated for them. Retail portion has been fixed at 10 per cent of the net offer.
Kotak Mahindra Capital Company, IIFL Securities and Nomura Financial Advisory and Securities (India) have been appointed to manage the issue. KFin Technologies have been appointed as the registrar to the issue. The company’s revenue fell Rs 250.7 crore in FY2021 from Rs 398.7 crore in FY2020 due to the impact of Covid-19 on the travel sector. Its net loss more than doubled to Rs 27.8 crore in FY21 from Rs 12.8 crore previous year.
