Ease MyTrip Allotment is out.
Easy Trip Planners IPO
(i) Ease my trip offers the comprehensive range of travel-related products and services for end- o-end travel solutions, including airline tickets, hotels and holiday packages, rail tickets, bus tickets and taxis as well as ancillary value added services such as travel insurance, visa processing and tickets for activities and attractions. Ease my trip is ranked third among the Key Online Travel Agencies in India in terms of gross booking revenues in Fiscal 2019.
(ii) They have been consistently profitable since incorporation, and according to the CRISIL Report, they were the only profitable online travel agency among the Key Online Travel Agencies in India in Fiscals 2017, 2018 and 2019.
(iii) Based on year-on-year growth from Fiscal 2018 to Fiscal 2019 in terms of gross booking revenue and operating revenues, they had the highest growth rate among the Key Online Travel Agencies in India.
(iv) Gross Booking Revenues increased by 51.04% from ₹ 1945 C in Fiscal 2018 to ₹ 2937 Crores in Fiscal 2019, and were ₹ 2019 Crores in the six months ended September 30, 2019. Their market share in the Indian online travel agency industry in terms of gross booking revenues and gross booking revenues for airline ticketing segment was approximately 3.8%, and 4.5% to 5%, respectively, in Fiscal 2019 (Source: CRISIL Report).
Ease my trip Stats:
(i) As of November 30, 2019, they provided their customers with access to more than 400 international and domestic airlines, more than 1,096,400 hotels in India and in international jurisdictions, almost all the railway stations in India as well as bus tickets to and taxi rentals for major cities in India.
(ii) As of March 31, 2019, they had 49,494 travel agents registered with them across almost all major cities in India and according to the CRISIL Report, they had the largest network of travel agents among Key Online Travel Agencies as of such period.
Objects of the Easy Trip Planners IPO:
Easy Trip Planners IPO Details:
|Open Date:||Mar 08 2021|
|Close Date:||Mar 10 2021|
|Face Value:||₹ 2 Per Equity Share|
|Issue Type:||Book Building|
|Issue Size:||510 Cr.|
|Lot Size:||80 Shares|
|Issue Price:||₹ 186-187 Per Equity Share|
|Listing Date:||Mar 19 2021|
Promoters And Management:
Financials of Easy Trip Planners IPO:
|Employee Benefit Expenses||30||22||16||11|
|Profit before tax||41||41||10||27|
|No. of shares||10.86||10.86||10.86||10.86|
|EPS in Rs||2.85||2.21||0.00||1.85|
Comparison With Peers:
|Companies (in Cr)||FY20||FY19|
|Air ticketing||Hotels and holiday||Total||Air ticketing||Hotels and holiday||Total|
Recommendation on Easy Trip Planners IPO:
Lead Manager of Easy Trip Planners IPO:
Registrar of Easy Trip Planners IPO:
Discussion on Easy Trip Planners IPO:
Ease MyTrip Allotment is out.
Easy Trip Planners IPO Subscription figures FINAL day at 12 PM
QIB – 0.28 X
HNI – 8.32 X
Retail – 46.48 X
Total – 10.27 X
Total Number of Applications 13.05 lakhs approx
Retail Allotment (Approx) : 1 out of 38 (till now)
Gmp 150 rs.
GMP is roughly 180 which is almost equivalent to the issue price. I think the only reason for such high GMP is very low retail quota at 10% only.
@ Umesh sir,
Subscribe or avoid.
Ease My Trip:
Total Shares Outstanding = 108,645,000
IPO Price = 187
Mcap = 2000 Crores
Revenue = 140 Crores
Mcap/Revenue = 14x
Make My trip
Mcap = 25000 Cr
Revenue = 3500 Cr
Mcap/Revenue = 7x
Online Travel Agencies?
OTA means the third party companies which help booking Flights, Bus, Rail, Hotels, travel packages from their platform.
OTA players revenue generation model.
1. Sales of Airline ticket = 55-60%
2. Hotel Booking = 37-38%
Ease My trip
98% of revenue comes from flight booking.
1. India’s tourism spending recorded a CAGR of 5.8% from 2014 to 2019, driven by rising incomes and improved availability and affordability of travel.
2. Domestic tourism has accounted for a dominant share in India’s overall tourism spend, which is 86% in 2019.
3. Outbound tourism, share is 14% of India’s total tourism spend as of 2019.
QIB Quota = 75%
Why retail quota is only 10%?
As per SEBI there are two routes via company can bring IPO.
1. Entry Norm I (commonly known as “Profitability Route”)
The Issuer Company shall meet the following requirements:
(a) Net Tangible Assets of at least Rs. 3 crores in each of the preceding three full years of which not more than 50% are held in monetary assets. However, the limit of fifty percent on monetary assets shall not be applicable in case the public offer is made entirely through offer for sale.
(b) Minimum of Rs. 15 crores as average pre-tax operating profit in at least three of the immediately preceding five years.
(c) Net worth of at least Rs. 1 crore in each of the preceding three full years.
(d) If the company has changed its name within the last one year, at least 50% revenue for the preceding 1 year should be from the activity suggested by the new name.
(e) The aggregate of the proposed issue and all previous issues made in the same financial year in terms of issue size does not exceed five times its pre-issue net worth as per the audited balance sheet of the preceding financial year
2. Entry Norm II (Commonly known as “QIB Route”)
Issue shall be through book building route, with at least 75% of net offer to the public to be mandatory allotted to the Qualified Institutional Buyers (QIBs). The company shall refund the subscription money if the minimum subscription of QIBs is not attained.
Ease my trip is at loss at operating level, so that is why they are come up with only 10% Retail quota.
Price band – 186 -187
Market lot – 80 shares
Out of 100 Crores of revenue, 97 Crores comes from flight ticket booking alone.
It’s like a single source of income which has it’s own risks involved…
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