Travels & Rentals Limited is coming up with an IPO consisting of a fresh issue of 30,60,000 shares worth INR 12.24 crores. The company aims to efficiently meet working capital requirements and support general corporate purposes.
Travels & Rentals IPO – Important Dates
| Travel & Rentals Limited IPO Date | August 29, 2024 to September 2, 2024 |
| Travel & Rentals Limited IPO Listing Date | September 5, 2024 |
| Travel & Rentals Limited IPO Price | INR 40 per share |
| Travel & Rentals Limited IPO Lot Size | 3000 Shares |
| Travel & Rentals Limited IPO Total Issue Size | INNR 12.24 crores |
| Travel & Rentals Limited IPO Basis of Allotment | September 3, 2024 |
| Travel & Rentals Limited IPO Initiation of Refunds | September 4, 2024 |
| Travel & Rentals Limited IPO Credit of Shares to Demat | September 4, 2024 |
| Travel & Rentals Limited IPO Issue Type | Fixed Price Issue IPO |
| Travel & Rentals Limited IPO Listing At | BSE SME |
Travels & Rentals Limited IPO – Company Profile
Travels & Rentals Limited, founded in 1990, expanded by incorporating as a private limited company in 1996. It operates under the Lufthansa City Center franchise and recently partnered with the Globus family of brands for sales in India.
With over 25 years of experience, it offers end-to-end travel solutions, including flights, hotels, tours, and ancillary services. It is accredited by IATA, recognized by the Indian Ministry of Tourism, and is a member of TAAI and IATO.
Business success hinges on adapting to geographical and seasonal travel trends. The company delivers high-quality, tailored services by understanding customer needs and ensuring client satisfaction. Diversification, industry best practices, and robust infrastructure drive steady growth.
Travels & Rentals Ltd IPO Fundamental Analysis
Travel & Rentals Limited Technologies’ financial analysis reveals a mixed performance. Revenue decreased, yet profit and total assets increased, reflecting business growth. Despite higher returns, lower EPS and weakening liquidity indicate potential short-term financial challenges.
- Revenue Trend: The revenue decreased from ₹285.31 lakhs in March 2022 to ₹567.05 lakhs in March 2023. The revenue for the current year’s 9-month period ending March 2024 is INR 752.83 lakhs.
- Equity and Liabilities: Equity has shown a consistent increase over the periods, reflecting potential growth and expansion. However, the debt-equity ratio has decreased, indicating reduced reliance on debt financing.
- Profitability: The profit after tax (PAT) has significantly increased from ₹69.01 lakhs in March 2022 to ₹296.55 lakhs by March 2024. This improvement in profitability could be a source of confidence among investors.
- Earnings per Share (EPS): The diluted EPS has reduced from ₹39.17 in March 2022 to ₹3.64 by March 2024, reflecting lower earnings per share for investors.
- Return on Net Worth (RoNW): The RoNW has risen from 14.06% to 20.06%, indicating an increase in the company’s ability to generate returns on shareholder equity.
- Financial Position: Total assets have increased, suggesting potential business growth. However, the current ratio has decreased, indicating weakening liquidity and potential challenges in meeting short-term obligations.
Travels & Rentals IPO Financial Analysis
| Particular | As of 31 March 2022 | As of 31 March 2023 | As of 31 March 2024 |
| Revenue (₹ in lakhs) | 285.31 | 567.05 | 752.83 |
| Equity (₹ in lakhs) | 490.88 | 741.52 | 1,478.48 |
| Expenses (₹ in lakhs) | 199.87 | 365.40 | 384.41 |
| Profit and Loss After Tax (₹ in lakhs) | 69.01 | 150.64 | 296.55 |
| Diluted EPS only (₹) | 39.17 | 7.49 | 3.64 |
| Return on Net Worth (%) | 14.06 | 20.31 | 20.06 |
| NAV per Equity Share (₹) | 278.61 | 36.86 | 18.16 |
| Total Assets (in lakhs) | 1,334.29 | 1,647.11 | 2,469.85 |
| Total Liabilities (in lakhs) | 843.41 | 905.59 | 991.37 |
| Debt Equity Ratio | 1.54 | 0.76 | 0.32 |
| Current Ratio (in times) | 2.94 | 1.79 | 2.39 |
Travels & Rentals Limited IPO Peer Comparison
Travels & Rentals Limited shows higher profitability and return on net worth but lower revenue compared to Sailani Tours N Travels Limited. Despite solid earnings per share, Sailani has a higher overall revenue and asset base.
| Company | Turnover (₹ in lakhs) | Face Value per Equity Share (₹) | P/E Ratio | EPS (Basic & Diluted) (₹) | RoNW (%) | NAV per Equity Share (₹ in lakhs) |
| Travels & Rentals Limited | 752.83 | 10 | 10.99 | 3.64 | 20.06 | 18.16 |
| Sailani Tours N Travels Limited | 2,346.27 | 10 | 38.73 | 0.63 | 4.10 | 15.41 |
Travels & Rentals Ltd IPO Objective
The main objective of Travels & Rentals Limited is to meet working capital requirements.
- Working Capital Requirement: The company intends to use INR 8.03 crores from the Net Proceeds of this Issue for working capital needs in FY 2024-25, with the remaining INR 20.54 crores covered by internal accruals.
- General Corporate Purpose: The company will allocate funds to general corporate goals, including strategic initiatives, partnerships, brand building, marketing activities, addressing unforeseen contingencies, and other business purposes to support overall growth and sustainability.
Travels & Rentals IPO Risks And Challenges
Travels & Rentals Limited’s risks include potential unfavorable legal outcomes, intense market competition, and the impact on customer service quality. Dependence on third-party providers and managing complaints are crucial to maintaining customer loyalty and a competitive edge.
- Legal proceedings involving their Company, Promoter Group, and Group Entities may result in outcomes that are not favorable. Still, the amounts involved are generally insignificant and unlikely to affect their financials significantly.
- The travel market is highly competitive, with challenges from established and emerging players, including global online agencies. Success depends on price, service quality, technology, and customer loyalty, necessitating continuous improvement and diversification to remain competitive.
- Customer service quality significantly impacts their business, as poor service can drive customers to competitors. Dependence on third-party service providers and managing customer complaints are crucial, as dissatisfaction may harm their reputation and affect bookings.
Travels & Rentals Ltd IPO – Industry & Market Potential
India’s diverse landscapes and rich heritage present vast tourism potential. As a critical driver of growth and foreign exchange, the tourism and hospitality sector benefits from government efforts and recovers strongly from the COVID-19 pandemic.
India’s travel and tourism sector, ranked 10th globally, is projected to grow at 7.8% annually, contributing significantly to GDP and employment. The market is expected to reach US$ 125 billion by FY27, with notable growth in airlines and hotels.
Staycations are growing, with major hotel chains offering curated experiences. India’s travel industry, projected to expand by 2.5%, could reach US$50.9 billion in visitor exports by 2028, up from US$28.9 billion in 2018.
Travels & Rentals Limited IPO – Type of Offer
Travels & Rentals Limited is coming up with an IPO consisting of a fresh issue of 30,60,000 shares worth INR 12.24 crores. The company aims to efficiently meet working capital requirements and support general corporate purposes.
Travels & Rentals IPO Offer Size
The offer size of Travels & Rentals Limited is INR 12.24 crores, consisting of a fresh issue of 30,60,000 shares. The company seeks funds to meet working capital requirements and efficiently support general corporate purposes.
Travels & Rentals Limited IPO Allotment Structure
Travel & Rentals Limited’s IPO allotment structure includes a category for Retail Individual Investors (RII) with investments below ₹2 lakhs, a category for other investors exceeding ₹2 lakhs, and a reservation of 153,000 shares for Market Makers.
- Retail Individual Investors (RII): These individual investors apply for shares with a total value of less than Rs.2 lakhs.
- Other than retail individual investors: Such applications where the value exceeds INR 2 lakhs.
- Market Makers Reservation: A certain percentage or number of shares is reserved for market makers. The company has set aside 153,000 shares for this purpose.
How to apply for the Travel & Rentals IPO?
To apply for the Travel & Rentals Limited IPO through Alice Blue, follow these steps:
Open a Demat and Trading Account: If you don’t have one already, you must open a Demat and trading account with Alice Blue.
- Check for IPO Details: Once your account is active, you can check for the Travel & Rentals Limited IPO details in the IPO section of the Alice Blue platform.
- Place the Bid: Enter the number of shares you wish to buy and place your bid within the IPO’s price band.
- Submit the Application: Confirm all your details and submit your application.
You can apply for the Travel & Rentals Limited IPO at Alice Blue in just a few clicks!
Check Allotment Status: After the allotment process, you can check the allotment status to see if you have received any shares.
Please note that the allotment of shares is not guaranteed and will depend on the demand for the IPO.
How do you check Travel & Rentals IPO Allotment Status?
Checking the allotment status of an IPO in Alice Blue is usually straightforward. Please follow these general steps:
- Log in to your Alice Blue Account: You can do this through the Alice Blue website or the trading app.
- Navigate to the Portfolio or IPO Section: This might differ based on the layout of Alice Blue’s platform, but generally, you can find the status of your IPO application under the ‘Portfolio’ or ‘IPO’ section.
- Find the IPO Allotment Status: Look for a sub-section called ‘IPO Allotment Status’ or something similar. This is where you can see the status of the IPOs you have applied for.
- Select the Travel & Rentals Limited IPO: If you have applied for multiple IPOs, there might be a dropdown menu or a list where you can select the IPO you are interested in. Select the Travel & Rentals Limited IPO.
- Check the Status: The status of your application should be displayed here. If the shares have been allocated to you, it would be mentioned here.
If you face any issues, we request you to reach out to our customer support team at Alice Blue for detailed assistance.
Apart from Alice Blue, there are other ways to check the allotment status of the Travel & Rentals Limited IPO:
● Registrar’s Website: Visit the website of Cameo Corporate Services Limited, the registrar of the Travel & Rentals Limited IPO. On the homepage, look for the ‘IPO Allotment Status’ option. You must enter your PAN, application, or Demat account number to check your allotment status. Click on the ‘Submit’ button to view your IPO allotment status.
● BSE SME: You can also check the allotment status on the official websites of the Bombay Stock Exchange (BSE) Small Medium Exchange (SME). You would need your application number and PAN to check the status.
Please note that the allotment status will only be available after completing the allotment process, a few days after the IPO window closes.
Travel & Rentals Ltd IPO Offer Registrar
The registrar for the Travel & Rentals Limited IPO is Cameo Corporate Services Limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
Contact information for the registrar:
CAMEO CORPORATE SERVICES LIMITED
Subramanian Building, No. 1, Club House Road,
Chennai – 600 002, India
Telephone: +91-44-40020700 (5 lines)
Email: [email protected]
Contact Person: Ms. K. Sreepriya
Website: www.cameoindia.com
Travel & Rentals IPO – FAQs
1. What is the allotment date of the Travel & Rentals IPO?
The allotment date of the Travel & Rentals Limited IPO is September 3, 2024.
2. What is the price band of the Travel & Rentals IPO?
The price band of the issue is INR 40 per share.
3. What is the size of the Travel & Rentals IPO?
The offer size of Travels & Rentals Limited is INR 12.24 crores, consisting of a fresh issue of 30,60,000 shares. The company seeks funds to meet working capital requirements and efficiently support general corporate purposes.
4. What is the listing date of the Travel & Rentals IPO?
The listing date of Travel & Rentals Limited’s IPO is September 5, 2024.
