Ixigo’s stellar stock market debut: Here’s what venture funds Elevation, Peak XV made on their investments

Online travel tech company Ixigo, which made its debut on the public markets on Tuesday, hit the upper circuit price of Rs 161.99 at 11.41 am. The stock listed at a premium of 48% to its issue price of Rs 93 apiece.

Ixigo’s investors Elevation Capital, Peak XV Partners and Micromax Informatics, which made bumper gains from the Gurgaon-based company’s Rs 740-crore initial public offering (IPO), have seen the value of their remaining stakes jump significantly following the listing. The company's market capitalisation was Rs 6,275 crore (around $750 million).

Elevation Capital


Elevation Capital, which has backed the likes of Paytm, FirstCry, Indiamart and Justdial, sold shares worth Rs 100 crore through the pre-IPO secondary sale, and sold shares worth around Rs 181 crore from the offer for sale component of the IPO.

As of Tuesday, Elevation’s remaining stake after the IPO is worth Rs 942 crore. The venture capital firm had invested Rs 63.1 crore in Ixigo through various tranches. Including the unsold stake, Elevation is looking at returns of more than 19 times its investment in Ixigo.

Peak XV Partners

Peak XV Partners, formerly Sequoia Capital India, received proceeds of Rs 121 crore from the OFS component, prior to which it offloaded stake worth Rs 65 crore in the pre-IPO round.

As per Ixigo’s prospectus, prior to the secondary sale, Peak XV Partners held 59.2 million shares, acquired at a weighted average cost of Rs 11.32 apiece – bringing its total investment to Rs 67 crore.

Following the pop in the Ixigo stock post-listing, Peak XV Partners’ remaining stake in Ixigo is worth Rs 635 crore. This makes the venture capital firm’s returns 12 times the invested capital including the earlier sales and unrealised returns on current stake.

Micromax Informatics

Mobile phone brand Micromax had invested Rs 18.8 crore in Ixigo and realised a total of Rs 61 crore by offloading shares in the pre-IPO sale and OFS component.

At the latest Ixigo share price of Rs 161.99, Micromax’s stake is worth Rs 249 crore – making its aggregate returns including for unsold stake at over 16 times the invested capital.

Founders Aloke Bajpai and Rajnish Kumar

The Ixigo cofounders sold shares worth Rs 111 crore each through the IPO’s OFS component.

As per the company’s red herring prospectus, the value of investments was Rs 2.6 crore for Bajpai and Rs 1.2 crore for Kumar. After the IPO, Bajpai owns 18.8 million shares in Ixigo, while Kumar has 20.2 million shares.

Based on the post-listing share price, the value of the stake has skyrocketed to Rs 305 crore for Bajpai and Rs 328 crore for Kumar.