Travel app Ixigo, a company backed by Sequoia Capital, Micromax, and GIC on Friday filed its draft red herring prospectus (DRHP) with the market regulatory body Securities Exchange Board of India (SEBI) to raise funds through an initial public offering (IPO). Ixigo is planning to Rs.1600 crores via the IPO.
The IPO will consist of a fresh issue of Rs. 750 crore and an offer for sale (OFS) of Rs. 850 crore. The company stated that the proceeding from the IPO will be used for the organic growth of the company and for general corporate purposes.
“In addition, our Company expects to receive the benefits of listing of the Equity Shares on the Stock Exchanges, including among other things, enhancement of our Company’s brand name among existing and potential users and creation of a public market for the Equity Shares in India,” the company stated in the DRHP.
Ixigo was founded in 2007 by Aloke Bajpai and Rajnish Kumar. The app provides information regarding the availability and prices of aeroplanes, buses, and hotels. It helps users organize and book tickets for the trip. According to the DRHP, Ixigo had 37.8 million users and has the highest app usage among online travel aggregators (OTA). In FY21, the company reported net revenue of Rs.135.5 crore.
