The software-as-a-service company RateGain Travel Technologies is likely to finalise its share allotment today. The issue saw a healthy response to its initial public offering.
The public offer, which was open for subscription during December 7-9, was subscribed 17.41 times as it received bids for 30.20 crore equity shares against the IPO size of 1.73 crore equity shares.
The portion set aside for qualified institutional investors was subscribed 8.42 times, while non-institutional investors’ portion was booked 42.04 times.
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The reserved portion for employees saw 1.37 times subscription and that of retail investors was subscribed 8.08 times. RateGain Travel was looking to raise Rs 1,336 crore at the upper end of the price band of Rs 405-425 per share.
Also read: Subscribe to Data Patterns (India): Choice Equity Broking
Here’s how to check the share allotment status:
After the finalisation of the basis of allotment, the share allotment can be checked either on the website of the BSE or the IPO registrar.
On the BSE website, follow these three steps:
- Select issue type (Equity), and issue name (RateGain Travel Technologies)
- Enter Application Number and PAN Number
- And finally check box (I’m not a robot) and click on search button
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On the IPO registrar’s website, follow these steps:
- Select Company Name (Tega Industries Limited - IPO)
- Select and accordingly enter either PAN Number, or Application Number, or DP/Client ID, or Account Number / IFSC
- And finally enter captcha and click on submit button
On December 13, a day ahead of the listing, the shares of RateGain Travel were trading at a premium of Rs 45, as per data from IPO Watch, indicating a premium of over 10 percent.
The stock is expected to debut on the NSE and BSE on December 17. Unsuccessful bidders will get refunds in their accounts by December 15, and successful investors will get shares in their demat accounts on December 16.
Aditya Birla Money, Anand Rathi, Arihant Capital, Choice Broking, Dalal & Broacha, Prabhudas Lilladher, Religare Broking and Swastika Investmart had a “subscribe” rating on the issue.
"At the issue price, RateGain will trade at 18.1x FY21 P/S, indicating a valuation broadly in line with global SaaS companies with similar growth prospects. RateGain generates stable and recurring revenues with relatively low capital requirements, leading to healthy free cash flow generation," said Aditya Birla Money.
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Prabhudas Lilladher said the valuations were justified given its superior product portfolio integrated across all value chain partners, enabling it to access data at a granular level, which cannot be easily replicated, and a highly predictable, scalable and profitable business model.
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