EaseMyTrip lists at 13.5% premium – but gives up some of the listing gains soon after
- The company had seen its IPO being oversubscribed by 159.33 times the offer value.
- EaseMyTrip’s IPO comes at a time when the fears of another lockdown are surging in the country, which could potentially affect travel.
- However, ahead of its IPO,
EaseMyTripseemed optimistic about the travel industry.
However, within minutes of trading the share price fell to ₹204 at 10.13 am.
TOP VIDEOS FOR YOUSince its listing, the company’s market value rose to ₹2,305 crore.
AdvertisementIn the grey market, the shares of the company were trading at ₹160-165, as per reports. However, the grey market is not an official measure of the market premium.
The company had seen its IPO being oversubscribed by 159.33 times the offer value, with its QIB portion being subscribed 78 times, HNI 384.26 times and retail 70.78 times.
EaseMyTrip’s IPO comes at a time when the fears of another lockdown are surging in the country, which could potentially affect travel. With the rising number of COVID-19 cases, several states have issued advisory while many cities are now subject to lockdowns or night curfews.
However, ahead of its IPO, EaseMyTrip seemed optimistic about the travel industry. “In our third quarter of 2020, we have already recovered 70% of where we were during the same period last year,” Prashant Pitti, director at Easy Trip Planners (the parent company of EMT) told Business Insider in an interview.
The company is an exception among a large pool of internet companies, which have tried to get listed – EaseMyTrip has bootstrapped its way to the public markets.
Founded in 2008, the company is India’s second largest travel aggregator. EMT claims to have achieved profitability and calls itself “the only profitable company among key OTAs (online travel aggregators) in India”.
AdvertisementAccording to a CRISIL report, as of FY20, EMT had a market share of 5% in India. However, the company believes that it would have gained market share in the last year.
Kishore Biyani vs Amazon – Delhi High Court brings up ‘civil prison’ for violation by Future Group, asks for recall of approvals granted to Future Retail-Reliance deal
Accenture announces one-time bonus for all employees as the tech giant sees robust revenue growth
- Monero’s ‘Fluffypony’ joins John McAfee, Ross Ulbricht and Arthur Hayes behind bars — but for a non-crypto crime
- Dr Subhash Chandra reveals his plans of venturing into video in digital space
- IOB asks Union Bank to buy its stake in Malaysian bank
- Adani Group firm Adani Wilmar to raise ₹4,500 crore via IPO
- Travel portal Ixigo moves a step closer to IPO