TBO Tek Ltd IPO

TBO Tek Ltd IPO includes fresh shares worth INR 400 crore and 1.56 crore existing ones. Funds will be used for expansion, acquisitions, and corporate needs.

Important Details

Open Date : May 8, 2024 Close Date : May 10, 2024 Allotment Date: May 13, 2024 Listing Date: May 15, 2024

Important Details

IPO Price: INR 875- 920 Lot Size: 16 shares Total Issue Size: INR 1,550.81 cr

Fundamental Analysis

1. Tek Travels Ltd. has Impressive revenue growth, profitability & margins pre-IPO. 2. Strong recovery in RoNW & EPS, enhancing investment appeal. 3. Attention needed for increased liabilities but overall attractiveness remains high.

Peer Comparison

1. TBO Tek Limited boasts a RoNW of 44.04% and an EPS of ₹14.07. 2. Outperforms peers Rategain and Webjet in profitability metrics. 3. Strong position in the travel technology sector evident from its performance.

Objective

1. Tek Travel Ltd IPO objective is to allocate ₹260 crores for platform growth. 2. ₹40 crores for inorganic acquisitions. 3. Balance for general corporate purposes.

Risks And Challenges

1. Revenue sensitivity to global economic, security, and environmental factors. 2. Risk from dependency on a limited range of suppliers. 3. Potential impact on contract renegotiation due to supplier cost reductions. 4. Indian aviation duopoly adds challenges.