Ixigo receives SEBI nod for IPO as Oyo withdraws papers

NEW DELHI — Travel booking platform ixigo has received the nod from markets regulator, the Securities and Exchange Board of India (SEBI), for its initial public offering (IPO) while hospitality major Oyo has withdrawn its draft IPO papers. 

Ixigo had refiled its draft red herring prospectus (DRHP) with the market regulator to raise INR 120 crore worth of fresh issue and an offer for sale (OFS) of up to 66,677,674 equity shares.

Ixigo, run by Le Travenues Technology Ltd, clocked INR 491 crore in revenue from operations with a profit of INR 65.7 crore for the nine months ending December 2023.

Meanwhile, as per the SEBI website, Oyo’s parent company Oravel Stays has withdrawn the IPO paper.

Oyo will refile its IPO papers with the markets regulator after refinancing its existing $450 million Term Loan B (TLB) at a lower interest rate.

Oravel Stays Ltd is close to finalising its refinancing plans where the company is considering raising $350-450 million (INR 2,908.5 crore- INR 3,739.5 crore) through a bond issuance, at an estimated interest rate of 9-10 per cent per annum. The refinancing is expected to result in annual interest savings of $8-10 million (INR 66.4-Rs 83.0 crore) in the first year for the company.

Oyo anticipates annual savings of $15-17 million (INR 124.5 crore- INR 141.1 crore).