The Indian subsidiary of Yatra online limited, Yatra Online has filed its draft red herring prospectus with the market regulators Securities Exchange Board of India( SEBI) to float its IPO worth Rs 7,500 million approximately $100 million from primary proceeds and secondary sale of shares totaling to 8,896,998 equity shares by THCL Travel Holding Cyprus Limited, a subsidiary of Yatra Online, Inc.
The company’s Expectations from floating the IPO in the Indian capital market are as follows:-
- Have access to the Indian institutional and retail investors who are currently excluded from investing in Yatra Online.
- Expanding the potential shareholder base of the company.
- Increase the visibility of the company in the Indian share market and a larger pool of equity analysts.
- Raise capital at higher valuation thus reducing the risk of dilution and balance sheet risk.
The purpose for the use of proceeds of the IPO:
- The firm will not receive any funds from the sale of secondary shares by THCL.
- Net proceeds from the sale o fresh issue will be used for organic growth initiatives and strategic investments
Book running lead managers of the IPO:-
- SBI Capital Markets,
- DAM Capital,
- IIFL Securities.