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HomeMarket NewsIxigo-parent to raise ₹1,296 crore via preferential issue of shares to Prosus unit
The shares will be issued by Le Travenues Technology on a preferential basis at a price of ₹280 per share, which is a 10% discount to Ixigo's closing price on Friday.
Shares of Le Travenues Technologies Ltd., parent company of travel services aggregator Ixigo, will be in focus on Friday, October 10, as it plans to raise up to ₹1,296 crore through a preferential issue of shares to a Prosus unit.
The board of Ixigo's parent approved the issue of 4.62 crore equity shares, amounting to 10.1% of the company's outstanding equity, through a preferential issue of shares on a private placement basis to MIH Investments One B.V.
The shares will be issued at a price of ₹280 per share, which is a 10% discount to Ixigo's closing price on Friday.
Proceeds raised from this preferential issue of shares will be divided into four equal parts for utilization, which include organic growth opportunities, inorganic growth opportunities, working capital requirements, and general corporate purposes.
Here's how the company plans on Organic Growth:
Via new AI platforms, products and services, including R&D
Technology and other related costs
Product enhancement and supply expansion for the Hotels OTA business
Advertisement and branding initiatives
It plans on using these funds for organic growth by December 31, 2028.
Shares of Le Travenues Technology ltd. ended 6% higher on Friday at ₹312.5. The stock has had a volatile last one month, but has managed gains of 4% during this period.
To be updated with more.
