Wise Travel India Lists at 33% Premium at Rs 195 Per Share on NSE

Wise Travel India Limited is a transport company that offers car rentals and transportation services across 130 cities in India, debuted on the Indian stock market today.

The company’s stock opened at Rs 195 per share, indicating a noteworthy premium of 32.65% compared to the final issue price of Rs 147 per share on the NSE. The market capitalisation of the company stands at Rs 487 crore on the NSE. Additionally, the company’s stock has reached the upper circuit price limit after listing in the market, and currently, there are no sellers ready to sell the stock in the market.

IPO Proceeds

The company proposes to utilise the net proceeds from the fresh issue for funding the following objectives:

• To meet working capital requirement
• To meet issue expenses
• General corporate purposes.

Company Profile

Wise Travel India Limited is a transport company that offers car rentals and transportation services across 130 cities in India.

The company provides a range of services, including car rental, employee transportation, end-to-end employee transport solutions (MSP), flexible fixed/monthly rental plans, airport counters, fleet management, mobility services for MICE, cutting-edge mobility tech solutions, sustainable mobility, project mobility solutions, strategic consulting, and advisory on mobility, as well as community commute.

WTI offers a variety of rental cars, including executive cars, luxury cars, coaches, SUVs, and sedans.

It offers services in cities such as Delhi NCR, Mumbai, Pune, Hyderabad, Bangalore, Chennai, Chandigarh, Ahmedabad, Guwahati, Jaipur, and Kolkata. The client base of the company includes Nokia, IndiGrid, Amazon, Microsoft, Tesco, Vedanta, Indigo, RBS, CocaCola, American Express, Renault, LinkedIn, Hitachi, Cheli, Sapient, Panasonic, etc.

Subscription Details

On February 14, 2024, the final day of the IPO window, the IPO witnessed an impressive response, with a subscription rate of 163.46 times. The public issue received remarkable interest, with the retail category being subscribed 108.76 times, while the QIB and NII categories reached a subscription rate of 106.69 and 375.56 times respectively.

The IPO price band was between Rs 140 and Rs 147, with a face value of Rs 10 per share and a lot size of 1000 shares. The total size of the company’s IPO was Rs 94.68 crore, and the final share issue price was fixed at Rs 147 each.

Financial Performance

Conclusion

The crucial question that arises in everyone’s mind is whether to hold onto the shares or book profits. Investors who applied for listing gains have already earned 39% on the listing day alone and can choose to book the profit it has generated. On the other hand, investors with a higher risk appetite may opt to hold the shares for the medium to long term, which could prove to be beneficial.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.