LGT Global Hospitality Ltd
Complete IPO details, including price band, financials, subscription status, and key insights.
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IPO Snapshot
Key metrics and details at a glance.
Price Band
₹107
Per ShareLot Size
1200 Shares
Minimum Investment
₹1,28,400
Issue Size
₹28.09 Cr
Face Value
₹10
Per ShareIPO Type
Fixed Price - SME
Retail Quota
50%
QIB Quota
0%
NII Quota
50%
IPO Timeline
Important dates for your applying strategy.
Subscription Status
Live demand across investor categories.
Track real-time subscription levels:
*Real-time data subject to exchange updates
LGT Global Hospitality Ltd
Business model, operations, and market positioning.
Promoter Holding (Pre-Issue)
99.95%
Promoter Holding (Post-Issue)
71.95%
Issue Type
Fixed Price - SME
ISIN
INE191201016
About the Company
We operate as a service aggregator in the travel and tourism industry. We connect and aggregate supply from third party hotels, airlines, car rentals, cruise companies and other travel service suppliers directly or through third-party aggregator wherever required and offer a wide range of services to our customers as per their desired requirements. We offer comprehensive range of travel services and tourism packages to our customers including MICE travel as well as cruise bookings, hotel bookings, in-transit arrangements, local sightseeing, and other tour and travels related services viz., customizing travel plans, travel arrangements for trade fairs etc.
Industry Overview
India has been ranked 39th among 119 countries in the latest TTDI 2024 Report published by the World Economic Forum. India's score has improved in three areas: Prioritisation of Travel & Tourism. Safety & Security. Health & Hygiene. The Government of India promotes tourism as a vehicle for social inclusion, employment and economic progress. Committed efforts are being made to transform India into a desirable tourist destination, and the tourism sector is becoming a key driver to making India a developed country by 2047. In 2023, India recorded 9.24 million foreign tourist arrivals (FTAs), a growth of 43.5% compared to 6.44 million in 2022. FTAs contributed Foreign Exchange Earnings (FEEs) of Rs. 2.3 lakh crores (Provisional estimates), a growth of around 65% in the same period compared to Rs. 1.39 lakh crores in 2022.
Company History
Our Company was originally incorporated as a private limited company under the Companies Act, 2013 with Registrar of Companies, Central Registration Centre in the name and style of "LGT Business Connextions Private Limited" through a certificate of incorporation dated August 31, 2016, bearing Corporate Identification Number U74999TN2016PTC112289. Subsequently, our Company was converted into public limited company pursuant to a shareholders' resolution passed at Annual General Meeting held on September 27, 2024, and name of our Company was changed from LGT Business Connextions Private Limited to "LGT Business Connextions Limited" and a fresh Certificate of Incorporation dated November 28, 2024, was issued by Registrar of Companies, Central Registration Centre. As on date of this Draft Prospectus, the Corporate Identification Number of our Company is U74999TN2016PLC112289.
Products & Services
- The Company operates as a service aggregator in the travel and tourism industry.
Growth Strategy
- Cost effectiveness.
- Expand our domestic presence in existing and new markets.
- Maintain our focus to strengthen customer relationship.
- Creating a Brand Image of our Products.
- Building-up as a Professional Organisation.
- Continue to attract and retain talent.
Customer Base
Wholesaler and Retailer
Financial Performance
Revenue, profit after tax and total assets across the last 3 reported financial years.
Revenue
Amount in ₹ crore
Profit After Tax (PAT)
Amount in ₹ crore
Total Assets
Amount in ₹ crore
Figures in ₹ crore, on a standalone basis, as reported for FY23 to FY25.
Objects of the Issue
How the company plans to utilize IPO proceeds.
Use of Proceeds
The funds raised through this IPO will be used for:
Initial public offering of upto 26,25,600 equity shares of Rs. 10/- each ("Equity Shares") of LGT Business Connextions Limited ("LGT" or the "Company") for cash at an offer price of Rs. 107/- per equity share (the "Offer Price"), aggregating to Rs.28.09 crores ("the Offer"), comprising a fresh offer of up to 23,62,800 equity shares aggregating to Rs. 25.28 crores by the company ("Fresh Offer") and an offer for sale of up to 2,62,800 equity shares by Wilfred Selvaraj ("the Promoter Selling Shareholder" or "Selling Shareholder") aggregating to Rs.2.81 crores ("Offer for Sale"). Out of the offer, 1,32,000 equity shares aggregating to Rs.1.41 crores will be reserved for subscription by market maker ("Market Maker Reservation Portion"). The offer less the market maker reservation portion i.e., offer of 24,93,600 equity shares of face value of Rs.10/- each at an offer price of Rs. 107/- per equity share aggregating to Rs.26.68 crores (is hereinafter referred to as the "Net Offer"). The offer and the net offer will constitute 28.01% and 26.60% respectively of the post offer paid up equity share capital of the company.
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- Management expertise.
- Leveraging the experience of our Promoters.
- Cordial relations with our customers.
- Cordial relations with our Employees and Professionals.
- The company is significantly dependent on the sale of some of the services namely MICE Packages and Hotel Bookings. Its aggregate revenue from these services accounted for 99.90% and 99.93% for the period ended September 30, 2024 and for the financial year ended March 31, 2024 respectively. An inability to provide these services may adversely affect the company brand loyalty and consequently its business, results of operations, financial condition and cash flows.
- The sale of the services is majorly concentrated in the southern states of India. Any adverse developments affecting its operations in such region, could have an adverse impact on the company business, financial condition, results of operations and cash flows.
- The company derives a significant portion of its revenue from operations from the top 10 customers. Loss of one or more of these customers or a reduction in the amount of business the company obtain from them could have an adverse effect on its business, results of operations, financial condition and cash flows. Further, the company has entered service agreement for providing accommodation service only. Other than accommodation service the company has not entered into any agreements with any of the customers.
- The company operations relies on third-party service providers, vendors, and on other travel suppliers. Any negligence in service provided by them, increase in input costs or failures to maintain strong relationships with them could disrupt the company operations which ultimately could adversely affect the quality of the service, pricing, results of operations and financial condition. Further, the company does not has long-term agreements with its travel suppliers.
- The companny derives a significant portion of its revenue from operations from the corporate clients.