TBO Tek Limited IPO Subscription Reaches 4.16x on Day 2

On Day 2 of the bidding process, Thursday, May 9, 2024, the Initial Public Offer (IPO) of TBO Tek Limited was subscribed 4.16 times. The retail portion was subscribed 10.06x, while 0.17x in Qualified Institutional Buyers (QIB), 8.20x in the Non-Institutional Investors (NII) category and the employees category was subscribed 6.57 times. The IPO opened on May 8, 2024, and will close on May 10, 2024, while its listing is expected to take place on May 15 on both BSE and NSE.

When we look at the TBO Tek IPO subscription day-wise, 

• On Day 1, May 8, 2024, the QIB category was subscribed 0.01x, NII 2.11x, retail 3.38x and EMP 2.36x. In total, the IPO was subscribed 1.20 times.
• On Day 2, May 9, 2024, the IPO was subscribed 4.16 times, where the QIB category was subscribed 0.17x, NII 8.20x, retail 10.06x, and EMP 6.57x.

On May 9, 2024, unlisted shares of TBO Tek Ltd were trading ₹540 in the grey market.

The price band of the TBO Tek Ltd IPO has been set at ₹875 to ₹920 per equity share. The lot size was 16 shares, and the minimum investment (retail) was ₹14,720. The IPO is both a fresh issue and an Offer For Sale (OFS), with a total issue size of 16,856,623 shares aggregating up to ₹1,550.81 crore.

The object of the TBO Tek Limited IPO is to expand the supplier and buyer base, amplify the value of their platform by adding new lines of business, grow inorganically through selective acquisitions and build synergies with their existing platform, and leverage data procured to offer customised travel solutions to their buyers and suppliers.

On May 7, 2024, the company’s IPO committee and the book-running lead managers finalised the allocation of 7,570,807 equity shares to Anchor Investors at an Anchor Investor allocation price of ₹920 per share.

About TBO Tek Ltd

TBO Tek Ltd is one of the leading travel distribution platforms in the global travel and tourism industry. The company offers buyers a wide range of travel inventory according to their customers’ requirements and supports a wide range of currencies along with forex assistance. The company streamlines travel operations for suppliers (hotels, airlines, etc.) and retail buyers (travel agencies, advisors), as well as enterprise buyers (tour operators, online travel companies) through their two-sided technology platform.

As of June 2023, the platform supports 11 languages and accepts more than 55 currencies for bookings.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.