February 2, 2022
admin
TBO Tek Limited ,a leading global travel distribution platform, is the second largest seller of full service airlines in India The company has filed the DRHP with SEBI for an IPO of up to Rs. 2,100 crore.
TBO TEK simplifies the business of travel for suppliers such as hotels, airlines, car rentals, transfers, cruises, insurance, rail and others ; and buyers that include retail buyers such as travel agencies and independent travel advisors . Its enterprise buyers include tour operators, travel management companies, online travel companies, super-apps and loyalty apps . TBO’s two-sided technology platform enables Suppliers and Buyers to transact seamlessly with each other. It operates at the nucleus of the global travel and tourism market that stood at US$9.2 trillion in 2019, aggregating supply and demand and connecting Suppliers to Buyers and vice-versa
As per DRHP, TBO Tek has been witnessing good recovery in HY1-FY22 with reference to number of suppliers with booking and number of yearly transacting buyers. TBO has reported gross transaction value (GTV) for six month September 30 2021 was Rs. 33,964.09 million compared to Rs. 30,855.43 million in FY 2021. Contribution to total GTV from International market increased from 19.28% in FY 2021 to 37.03% in six month September 30, 2021. Contribution to total GTV from Hotels and ancillary increased from Rs. 7,394.70 million in FY 2021 to Rs. 13,780.24. GTV contribution from Air during six month of September 2021 was 86% of amount reported in FY 2021 amounting to Rs. 20,183.85 million compared to Rs. 23,460.74 million in FY 2021.
As per DRHP, TBO gross profit increased to Rs.1, 058.36 million in FY 2021 to Rs. 1,212.36 million during six month as on September 2021. Gross profit margin too increased marginally from 3.43% in FY 2021 compared to 3.57% in six month as on September 30, 2021.
TBO TEK has asset light business model with strong operating leverage and an agile technology platform. It uses data as corporate currency. The platform creates network effect with interlinked flywheels to enhance value proposition for partners. TBO’s experienced leadership team and its devoted founders have deep experience and expertise. The stellar Board of Directors has a wealth of experience.
TBO TEK proposes to utilise net proceeds from IPO towards growth and strengthening of its platform by adding new buyers and suppliers amounting to Rs. 570 crore. The net proceeds amounting to Rs. 90 crore will also be utilized for strategic acquisitions and investments towards inorganic growth. The balance will be used towards general corporate purpose.
