RateGain Travel Technologies IPO was subscribed 0.75 times on second day of its issueRateGain Travel Technologies initial public offer (IPO) was subscribed 0.75 times on the second day of its issue, as it received 12.93 million bids against the offer of 17.35 million shares, according to stock exchange data.Retail investors placed bids for 3.98 times the shares reserved for them. Non-institutional investors bid for 0.08 times their quota, while qualified institutional buyers (QIBs) are yet to place orders for the issue.RateGain Travel Technologies is planning to raise Rs 1,335.74 crore from the IPO which consists of an offer for sale of Rs 960.74 crore and fresh issue of Rs 375 crore. Under the offer for sale (OFS) its investor Wagner Limited along with its promoters Bhanu Chopra, Megha Chopra and Usha Chopra are offloading over 2.2 crore shares.Promoters’ shareholding stands at 65.4 per cent, which will come down to 55 per cent after the issue.The company is planning to sell shares in the price band of Rs 405-425 per equity share and a retail investor can bid for minimum one lot of 35 shares and up to maximum of 13 lots. One lot of RateGain Travel Technologies shares in the IPO will cost Rs 14,875.Up to 75 per cent of the issue is reserved for qualified institutional buyers, 15 per cent for non-institutional investors and 10 per cent for retail investors.The company will use the proceeds from the IPO to repay debts availed by Rategain UK, make payment of deferred consideration for acquisition of DHISCO, strategic investments, acquisition, and inorganic growth, to make investment in technology innovation, artificial intelligence, and other organic growth initiatives, purchase capital equipment for the company’s data center and to meet general corporate purposes.Rategain Travel Technologies is one of the leading distribution technology companies globally and the largest Software as a Service (SaaS) provider in the travel and hospitality industry in India. The firm offers travel and hospitality services across different verticals like hotels, airlines, online travel agents, meta-search companies, package providers, car rentals, cruises, and ferries.
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