IPO Update: Travel chain operator Flamingo Travel receives SEBI approval

The duty-free, travel retail chain operator Flemingo Travel Retail gets SEBI's approval to proceed with its Rs. 2,600 crore IPO. The company operates with a motto, we only sell quality tours.

Flamingo Travel is promoted by Atul Vini Ahuja and Flemingo International (BVI) Limited. Flemingo International is based in Dubai and operates duty-free stores in international airports across India. The company has presence in 33 countries.

The Initial Public Offering (IPO) includes a fresh issue of Rs. 2,423 crore and an offer for sale (OFS) of up to 11,29,500 equity shares of face value Rs. 10 each by Flemingo Duty Free Shop Mumbai Private Limited. The proceeds from the OFS will be paid to the selling shareholder.

The company plans to use net proceeds of the fresh issue to pay off for the acquisition of 100 per cent of the issued and paid-up share capital of Flemingo Dutyfree Shop Private Limited (Flemingo India) from our promoter, Flemingo International, Viren Ahuja, Arjun Ahuja and Karan Ahuja and Symbolic Infra Projects Private Limited. Also, acquisition of 100 per cent of the equity interest in Flemingo International (UK) from Flemingo International.

Flamingo Travels has stated new consumers from emerging markets, higher spending on travel, tourism and destination shopping and improving aviation infrastructure as key drivers for its businesses.