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Updated on: Friday, December 17, 2021, 12:24 PM IST

RateGain shares list with over 15% discount; check for details

The stock is listed at Rs 364.80, a decline of 14.16 per cent from the issue price on the BSE. It further tumbled 19.45 per cent to Rs 342.30./ Representational image | Photo credit: Freepik

The stock is listed at Rs 364.80, a decline of 14.16 per cent from the issue price on the BSE. It further tumbled 19.45 per cent to Rs 342.30./ Representational image | Photo credit: Freepik

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Shares of RateGain Travel Technologies Ltd on Friday listed with a discount of over 15 per cent against the issue price of Rs 425.

The stock listed at Rs 364.80, a decline of 14.16 per cent from the issue price on the BSE. It further tumbled 19.45 per cent to Rs 342.30.

At the NSE, it made its debut at Rs 360, a discount of 15.29 per cent. The market valuation of the company was at Rs 3,882.79 crore in early trade.

RateGain Travel Technologies' initial share sale was subscribed 17.41 times earlier this month.

IPO

The IPO comprises fresh issue of equity shares aggregating up to Rs 375 crore and an offer-for-sale (OFS) of up to 2.26 crore equity shares by promoters and existing shareholders.

The OFS comprises sale of 1.71 crore equity shares by Wagner Limited, up to 40.44 lakh equity shares by Bhanu Chopra and up to 12.94 lakh equity shares by Megha Chopra and up to 1.52 lakh equity shares by Usha Chopra.

Shares

The offer includes a reservation of shares worth Rs 5 crore for the company's employees who will receive those shares at a discount of Rs 40 per share to the final issue price.

Proceed from the fresh issue

Proceeds from the fresh issue will be used for payment of debt availed by RateGain UK, one of the subsidiaries, from Silicon Valley Bank; payment of deferred consideration for acquisition of DHISCO and strategic investments, acquisitions and inorganic growth.

Also, the funds will be invested in technology innovation, artificial intelligence and other organic growth initiatives; purchase of certain capital equipment for data centers; and general corporate purposes.

About 75 per cent of the issue size has been reserved for qualified institutional buyers (QIBs), 15 per cent for non-institutional investors and the remaining 10 per cent for retail investors.

Kotak Mahindra Capital Company Limited, IIFL Securities Limited and Nomura Financial Advisory and Securities (India) Private Limited have been appointed as lead managers for the issue.

The equity shares will be listed on BSE and NSE.

(With inputs from agencies)

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Published on: Friday, December 17, 2021, 12:24 PM IST
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