Travel Food Services Gets SEBI Nod to Launch IPO of ₹2,000 Crore

Travel Food Services Ltd. has received approval from the Securities and Exchange Board of India (SEBI) to proceed with its Initial Public Offering (IPO). The observation letter, which acts as a clearance to launch the issue, was issued on April 22, 2025. The company had submitted its draft red herring prospectus on December 10, 2024.

IPO Structure

The proposed IPO is a ₹2,000 crore offer-for-sale by the promoter, Kapur Family Trust. Since it is a complete OFS, the company itself will not receive any funds from the issue. The proceeds will go to the selling shareholder after deducting issue-related expenses. There is also a portion reserved for eligible employees.

Listing and Management

The equity shares are proposed to be listed on both the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE).

Kotak Mahindra Capital Company Ltd., HSBC Securities and Capital Markets (India) Pvt. Ltd., ICICI Securities Ltd., and Batlivala & Karani Securities India Pvt. Ltd. are the book-running lead managers. Link Intime India Pvt. Ltd. is the registrar to the issue.

Read More: Travel Food Services Limited Files DRHP for ₹2,000 Crore IPO.

Company Background

Travel Food Services operates food and beverage outlets and private lounges at airports and highway locations in India and Malaysia. The company is part of K Hospitality, backed by SSP Group Plc and the Kapur Family Trust. It opened its first outlet in 2009. 

The company operates using 117 partner and in-house brands. Its in-house brands include Caféccino, Dilli Streat, idli.com, and Curry Kitchen.

As of June 30, 2024, they were running 397 travel quick-service restaurants (QSRs) and 31 lounges. These are spread across 14 airports in India and 3 airports in Malaysia. A new lounge was opened in Hong Kong in July 2024. Of its 340 outlets in India, 313 are located inside airports.

Financials

For the quarter ending June 30, 2024, Travel Food Services reported ₹409.86 crore in operating revenue and ₹59.55 crore in profit after tax.

Conclusion

With the regulatory approval now received, Travel Food Services can move forward with its IPO. Since the issue is fully an offer-for-sale, the funds raised will go to the promoter, and there will be no capital inflow into the company. 

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