RateGain Travel IPO: Check latest GMP, subscription status, expected listing price; should you invest?

RateGain Travel Technologies Limited's IPO received a 71 per cent subscription by 4.40 pm on the second day on Wednesday, December 8.

New Delhi: The initial public offer (IPO) of RateGain Travel Technologies Limited received a 71 per cent subscription by 4.40 pm on the second day on Wednesday, December 8. RateGain IPO’s latest subscription status and grey market premium (GMP) suggest that investors receiving initial offer’s share could expect a tad listing gains.   

The IPO has a fresh issue of up to Rs 375 crore and an offer for sale of up to 2,26,05,530 equity shares. The IPO is offering 17,351,146 shares, with 3,131,141 shares being offered to retail investors, 9,393,424 shares to qualified institutional buyers (QIBs), and 4,696,711 shares to non-institutional investors (NIIs). 

RateGain Travel IPO Subscription Status

The Retail Individual Investors (RIIs) category received full subscriptions on the first day. The quota was subscribed by 2.23 times on day one and by 3.80 times on the second day of the offer.

RateGain Travel IPO Latest GMP

Currently, the GMP of RateGain Travel IPO stands at Rs 96 per share, with the expected listing price at Rs 521, a listing gain of about 22.59%. 

RateGain Travel IPO Details 

The three-day RateGain Travel’s initial offer has a price range of Rs 405-425 per share. The company, on Monday (December 6), raised Rs 599 crore from anchor investors. It is expecting to raise about Rs 1,335.73 crore at the upper end of the price band with the IPO. 

RateGain Travel is planning to spend the proceeds from the fresh issue for payment of debt availed by RateGain UK, one of the subsidiaries, from Silicon Valley Bank; payment of deferred consideration for the acquisition of DHISCO and strategic investments, acquisitions, and inorganic growth, PTI reported. Also Read: Better.com CEO Vishal Garg apologises for firing 900 employees over Zoom call

The funds will also be invested in technology innovation, artificial intelligence, and other organic growth initiatives; purchase of certain capital equipment for the data centre; and general corporate purposes, the media report said. Also Read: Sensex zooms 1,016 points; Nifty reclaims 17,400-mark