Travels & Rentals Limited IPO
- IPO Date29 Aug, 2024 to 02 Sep, 2024
- Listing Date05 Sep, 2024
- Face Value₹10 per share
- Issue Price₹40 to ₹40 per share
- Lot Size3000 Shares
- Minimum Investment₹1,20,000
- Listing AtBSE SME
- Total Issue Size30,60,000 Shares
(aggregating up to ₹12.24 Cr) - Fresh Issue30,60,000 Shares
(aggregating up to ₹12.24 Cr)
- Offer for Sale-
- Issue TypeFixed Price Issue IPO
- Share holding pre issue81,42,685
- Shareholding post issue1,12,02,685
IPO Dates
Closing Date
02 Sep, 2024
Initiation of Refunds
04 Sep, 2024
Listing Date
05 Sep, 2024
29 Aug, 2024
Opening Date
03 Sep, 2024
Basis of Allotment
04 Sep, 2024
Credit of Shares
Travels & Rentals Limited Lot Size
Investors can bid for a minimum of 3000 shares and in multiples thereof. The below table depicts the minimum and maximum investment by retail investors and HNI in terms of shares and amount.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 3000 | ₹1,20,000 |
| HNI (Min) | 2 | 6000 | ₹2,40,000 |
| Retail (Max) | 1 | 3000 | ₹1,20,000 |
Travels & Rentals Limited Promoter Holding
The promoters of the company are Mr. Devendra Bharat Parekh, Mrs. Karuna Parekh, Mrs. Anupama Singhi, and Mr. Tushar Singhi.
| Pre Issue Share Holding | Post Issue Share Holding |
|---|---|
| 86.48% | 62.86% |
Travels & Rentals Limited COMPANY INFORMATION
Incorporated in 1996, Travels & Rentals Limited provides a wide range of travel-related products and services for complete travel solutions. The company offers airline tickets, hotels, tour packages, rail tickets, as well as additional services like travel insurance, passport & visa processing, and tickets for activities and attractions.
The products/services of the company include the following:
- Air ticketing - domestic and international flights
- Packaged Tours - inbound and outbound customised tours
- Hotel Reservation - worldwide hotel reservation and packages.
- Visa, Passport, Insurance and other related specialized services.
The company has a strong network with travel agents across Europe, the USA, South and Southeast Asia, the Middle East, Africa, and Australia.
The company is accredited by the International Air Transport Association (IATA) in Geneva, Switzerland. It is also recognized by the Ministry of Tourism, Government of India and is a member of both the Travel Agent Association of India (TAAI) and the Indian Association of Tour Operators (IATO).
As of March 31, 2024 the company has 58 employees.
Analysis of Travels & Rentals Limited IPO
Travels & Rentals Limited, a company with decades of experience in the travel and hospitality industry, is launching its Initial Public Offering (IPO). This analysis provides an overview of the IPO, highlighting the company's strengths, risks, and key financial details, allowing potential investors to make informed decisions.
Overview of Travels & Rentals Limited
Travels & Rentals Limited is a well-established player in the travel industry, offering a range of services including airline ticketing, hotel bookings, tour packages, and value-added services like travel insurance and visa processing. The company also operates under the "Business Plus Lufthansa City Center" franchise in India, indicating its strong international ties and reputable standing in the travel market.
Key Details of the IPO
- Issue Size: The IPO consists of 30,60,000 equity shares priced at ?40 per share, aggregating to ?1,224.00 lakhs.
- Face Value: ?10 per share.
- Issue Price: ?40 per share, which is 4 times the face value.
- Listing: The shares are proposed to be listed on the SME Platform of BSE Limited.
- Use of Proceeds: The funds raised will primarily be used for business expansion, working capital needs, and reducing debt.
Pros of Investing in Travels & Rentals Limited IPO
- Established Market Presence: The company has been in the travel business for decades, building a solid reputation and strong customer base.
- Diverse Service Offering: Travels & Rentals offers a wide range of travel services, which diversifies its revenue streams.
- Strong Partnerships: The franchise with Lufthansa City Center enhances the company’s credibility and provides international exposure.
- Growth Potential: The funds raised through the IPO will be utilized for expansion, which could lead to significant growth in the coming years.
- Experienced Management: The company is managed by a team with extensive experience in the travel industry.
Cons of Investing in Travels & Rentals Limited IPO
- Market Risks: The travel industry is highly sensitive to economic downturns, pandemics, and other unforeseen events that can lead to a significant decline in revenue.
- High Competition: The industry is competitive, with numerous players offering similar services, which could impact the company's market share and profitability.
- Dependence on Key Partners: The company’s success is partly dependent on its partnership with Lufthansa City Center, and any changes in this relationship could affect its business.
- Economic Dependency: The company’s performance is closely tied to the economic environment, and any downturn could adversely affect its operations.
- Fixed Price Issue: As a fixed price issue, there is no guarantee of active trading or price stability after listing.
Conclusion
The Travels & Rentals Limited IPO offers an intriguing investment opportunity, particularly for those interested in the travel and hospitality sector. The company’s established market presence, diverse services, and international partnerships are significant advantages. However, investors should consider the inherent risks, such as market volatility and economic sensitivity, before investing. This IPO could be a worthwhile addition to an investment portfolio, provided the associated risks are carefully managed.
FAQs About Travels Rentals Limited Ipo
Travels & Rentals Limited IPO will open on 29 Aug, 2024 and close on 02 Sep, 2024. Investors must apply within this period to participate.
The Travels & Rentals Limited IPO price band is set between ₹40.00 and ₹40.00 per share. The minimum lot size is 3000, requiring an investment of at least ₹120000.00.
The Travels & Rentals Limited IPO shares are expected to be listed on 05 Sep, 2024, subject to regulatory approvals and final allotment.
You can track your Travels & Rentals Limited IPO application status on the registrar’s website: Link Intime or KFintech using your PAN, application number, or DP ID
The Travels & Rentals Limited IPO will be listed on major stock exchanges such as BSE, where you can trade shares once they are listed.