Yatra Online IPO: All You Need To Know
The funds will be used for technology and organic growth initiatives, strategic investments, acquisitions and inorganic growth.

Yatra Online Ltd. will launch its initial public offering on Sept. 15.
The online travel agency will have a total IPO value of Rs 775 crore. It consists of a fresh issue of Rs 602 crore and an offer for sale of Rs 173 crore, which will offload a total of 1.22 crore equity shares. The fixed price band for the IPO is Rs 135–142.
The selling shareholders of the IPO will be promoter Travel Holding Cyprus, which will sell up to 1.18 crore equity shares, and investor Pandara Trust, which will sell up to 4.13 lakh equity shares.
The company had undertaken a pre-IPO placement of Rs 62.01 crore by way of rights issue and allotted 26,27,697 equity shares of face value of Re 1 each to its promoter, THCL Travel Holding Cyprus, on Dec. 10, 2022, at an issue price of Rs 236 per share.
Out of the total IPO size, 75% is reserved for qualified institutional buyers, 15% for non-institutional investors, and the remaining 10% for retail individual investors.
The company's parent company, Yatra Inc., is listed on US' NASDAQ.
Issue Details
Issue opens: Sept. 15.
Issue closes: Sept. 20.
Total issue size: Rs 775 crore.
Fresh issue size: Rs 602 crore.
OFS size: Rs 173 crore.
Face value: Re 1 apiece.
Fixed price band: Rs 135–142 per share.
Listing: NSE, BSE.
Business
Founded in 2006, Yatra Online provides information, pricing, availability, and booking facilities for domestic and international customers.
The business offers domestic and international flight ticketing on Indian and foreign airlines. Bus and rail ticketing, cab reservations, and ancillary services inside India as well as hotel homestay and other lodging bookings are also available.
The company's clientele includes both business-to-business and business-to-consumer customers. As of the financial year 2023, the company has over 813 corporate customers and over 49,800 registered small and medium enterprise customers.
According to a Crisil report, the company is India's largest corporate travel services provider in terms of number of corporate clients and the third largest online travel company in the country among key online travel agency players, in terms of gross booking revenue and operating revenue for fiscal 2023. It also has the largest number of hotel and accommodation tie-ups among key domestic industry players, with over 21,05,600 tie-ups as of March 31.
Use Of Proceeds
Investment in customer acquisition and retention, technology, and organic growth initiatives: Estimated amount of Rs 392 crore.
Strategic investments, acquisitions, and inorganic growth: Estimated amount of Rs 150 crore.
General corporate purposes.
Risk Factors
The company derived 28% of its adjusted margin from B2B business in the previous fiscal. Changes in travellers' preferences due to increased travel costs, spending habits and other factors may affect the demand for travel services and hotel rooms, leading to adverse effects on the business.
The company is dependent on the airline ticketing business, which generates a significant percentage of total revenue. The airline business contributed 47% of total revenue in fiscal 2023.
The company's quarterly results may fluctuate due to seasonality in the leisure travel industry and may not fully reflect the underlying performance of the business.
Any reduction or elimination in the commission or other fees received by the company from airline suppliers and global distribution system service providers for the sale of air tickets could affect operations.
The company derives a significant portion of its gross bookings from certain large customers, and the loss of one or more such customers can affect the company's demand. For the fiscal-ended March 31, 2023, gross bookings from the top five customers contributed 9.1% of total gross bookings.