Easy Trip Planners Closes 11.4% Higher Than IPO Price On Stock Market Debut
Travellers line up with suitcases at Heraklion International Airport in Heraklion, on the island of Crete, Greece. (Photographer: Loulou D’Aki/Bloomberg)

Easy Trip Planners Closes 11.4% Higher Than IPO Price On Stock Market Debut

Shares of Easy Trip Planners Ltd. gained as it began trading on the bourses, despite markets correcting for the sixth straight session.

Shares began trading at Rs 216.75—a premium of 16.4% to the IPO price of Rs 187 per share. The stock went on to scale an intra-day high of Rs 234, up 25% in the early minutes of trading. Later, the stock corrected to close 11.39% higher at Rs 208.3 per share.

The company's IPO was the second-most subscribed issue of the year so far, with overall subscription at Rs 160.18 times. Subscription was led by non-institutional investors who put up demand for 384.26 times the shares on offer. The portion for institutional investors was subscribed 77.95 times while the retail portion saw subscription of 70.76 times.

The subscription to the issue was only second to that seen by MTAR Technologies Ltd. which was subscribed 200.79 times overall and closed with gains of 88% on its stock market debut last week.

Easy Trip was founded in 2008 as a distribution channel (business to business to consumer) allowing travel agents book tickets for the offline market. In 2011, it started selling directly to customers (business to consumers) and two years later to corporates (business to enterprise). The company offers air, rail and bus tickets, hotel and holiday packages, and other value-added services.

The company provides customers an option to buy tickets without a convenience fee, ensuring a repeat transaction rate of 85.95% between April 1, 2017, and Dec. 31, 2020, according to its red herring prospectus. It had 10.32 million registered customers as of December 2020.

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