GoAir (Go First or Go Airlines) is the airline venture of India’s 284-year-old Wadia Group, which includes Bombay Burmah, Bombay Dyeing, Britannia, National Peroxide, Bombay Realty, and plenty more. It also a big investment from Tata Group. The GoAir IPO will hit the market in February 2022 .
Table of Contents
About
They are an ultra-low-cost airline whose unit revenues are driven by keeping low unit costs and providing appealing value to consumers. With a rise in domestic market share from 8.8% in 2018 to 10.8% in 2020, they are one among India’s fastest growing carriers.
Young Indians and MSME firms are their primary clients, and they feel their product and service solutions are particularly appealing to these huge and expanding sections of the Indian population.
In India, the urban and middle-class demographics make up the majority of the population. More than 75% of the people is under the age of 45, with around 35% of the population living in metropolitan areas, and MSME enterprises accounting for 33.5 percent of India’s GVA.
Service quality
GoAir is a low-cost airline (LCC) with the objective of making air travel more economical and open to the general public. With its first journey from Mumbai to Ahmedabad in November 2005, the airline began operations.
The 15-year-old carrier has operated over 81 million travelers since its establishment. Punctuality, affordability, and convenience are the 3 fundamental concepts that guide GoAir’s operations. GoAir advertises itself as “the Smart People’s Airline.”
Their fascinating theme, ‘Fly Smart,’ aims to provide travelers with a reliable, high-quality, and timely service at a low cost. According to united kingdom’s Cirium* and the Government of India’s Directorate General Civil Aviation** (DGCA), the carrier is the most punctual in the Indian airline industry.
Fleet & Operation
The GoAir fleet consists of 56 Airbus A320 aircraft that are state-of-the-art. The airline has announced a requirement for over 100 more Airbus A320 neo aircraft after doubling its aircrafts in less than 2 years (2017-2019).
For a smooth and pleasant flight, all GoAir aircraft are operated to the maximum safety standards.
The airline operate flight to 37 destinations, including 28 Domestic and 9 international. The carrier’s ever-expanding footprint spans main Indian and international locations.
Go First IPO
Go Air has to filed the draft red herring prospectus (DRHP) to Securities and Exchange Board of India (SEBI) for Initial Public offering(IPO) on 14 April 2021. Go airlines intends to collect a total of 3,600 crores from this Initial Public offering(IPO).
All 3600 cr. will be raise though offer for sale(OFS) for equity share with face value of 10 each by promoters of the company and no fresh Issue is included in goair Initial public offering.
This will be the forth Airlines to go public in India as Indigo, spice jet and jet airways is already trading in stock market.
Financials Trends
| Particulars | For the year/period ended ( in Cr.) | ||||
|---|---|---|---|---|---|
| 31-Dec-20 | 31-Mar-20 | 31-Mar-19 | 31-Mar-18 | ||
| Total Assets | 14,458.23 | 14,082.03 | 11,134.28 | 7,553.54 | |
| Total Revenue | 1,438.44 | 7,258.01 | 5,936.75 | 4,601.15 | |
| Profit After Tax | (470.69) | (1,270.74) | (386.60) | (31.21) | |
Objects of the Issue
- Prepayment / repayment of all or a portion of the outstanding borrowings of the company to be availed on consolidated basis.
- To meet common corporate objectives.
Go Air IPO Details
| IPO Opening Date | February 2022 |
| IPO Closing Date | February 2022 |
| Issue Type | Book Building |
| Face Value | 10 per share |
| IPO Price | 0 to 0 per equity share |
| Market Lot | 0 |
| Min Order Quantity | 0 |
| Listing At | BSE, NSE |
| Issue Size | 3,600 Cr. |
| Fresh Issue | 0 |
| Offer for Sale | 3,600 Cr. |
Go Air IPO Tentative Date
The GoAir IPO opening date is February 2022 , and the closing date is February 2022 . The issue may list in February 2022 .
| IPO Open Date | February 2022 |
| IPO Close Date | February 2022 |
| Basis of Allotment Date | February 2022 |
| Initiation of Refunds | February 2022 |
| Credit of Shares to Demat Account | February 2022 |
| IPO Listing Date | February 2022 |
Basis of Allotment
| Type | % of Offer | Basis of Allotment |
|---|---|---|
| Qualified Institutional Buyer | 75 |
Roughly Equivalent
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| Non Institutional Investor | 15 |
Roughly Equivalent
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| Retail | 10 | Minimal 1 lot based on availability. |
GoAir IPO Allotment Status
Allotment of equity stocks subject to the Fresh Issue and transfer of the Promoter Selling Shareholders’ OFS Stocks to the winning Bidders subject to the Offer for Sale. Nevertheless, the status of the allotment has yet to be revealed.
Here, you can find the Allotment Status of Go First IPO.
GoAir IPO GMP
GoAir IPO Grey Market Premium is INR 0.
| Date | GMP (in Rs) | Subject to Sauda | Kostak (in Rs) |
| February 2022 | |||
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GoAir IPO Review
GoAir IPO review is depending on the price band. Whenever it will be announced we will update you regarding GoAir IPO is good or bad.
Go first IPO Brokerage views
- Yes Securities : Not Updated
- Choice Brokering: Not Updated
- Axis Securities: Not Updated
- IIFL Securities: Not Updated
- Trade swift: Not Updated
- Anand Rathi : Not Updated
- ICICI Securities: Not Updated
GoAir IPO Subscription Status
| Date | Day | QIB | NII | Retail | Employees | Total Subscription |
| February 2022 | 1 | |||||
| February 2022 | 2 | |||||
| February 2022 | 3 |
Go First IPO Prospectus
Promoters
- Nusli Neville Wadia
- Ness Nusli Wadi
- Jehangir Nusli Wadia
- Go investments & trading private limited (65.32%)
Promoter Holding
| Pre Issue Share Holding | 73.33% |
| Post Issue Share Holding |
Contact Details
Go Airlines (india) Limited
C/o Britannia Industries Limited
A-33 Lawrence Road Industrial Area
New Delhi -110035
Tel: (+91 11) 7156 8136
E-mail: [email protected]
Website: https://www.goair.in/
Registrar
Link Intime India Private Limited
C-101, 1st Floor, 247 Park, Lal Bahadur Shastri Marg,
Vikhroli (West) Mumbai 400 083 Maharashtra
Telephone no.: (+91 22) 4918 6200
E-mail: [email protected]
Website: www.linkintime.co.in
Lead Manager(s)
- ICICI Securities Limited
- Morgan Stanley India Company Private Limited
- Citigroup Global Markets India Private Limited
We hope we are able to answer all you questions about this IPO. If you don’t have a Demat account, open it now with Zerodha best trading app.
Clarification
The reference of IPO Grey Market Premium (IPO GMP) is only valid for the date specified in the header.
On the IPO Grey Market, we do not purchase or sell IPO forms.
The Kostak Rate is the profit earned by selling an IPO application (in an off-market transaction) to somebody else before the issue is allotted or listed.
Do not subscribe to an IPO based solely on the premium price, as it may alter at any time before to the listing. Only consider the fundamentals of the companies when subscribing.
The GMP rates for IPOs are based on market intelligence. Please keep in mind that these IPO GMP rates may vary by geography and market.
Note:
We do not engage in grey market trading or facilitate the purchase or sale of IPO forms.
What is Grey Market?
The phrase “grey market” refers to an illegal over-the-counter market where IPO applications and IPO stock are traded before the entity is listed on a stock exchange. This is a technique for dealers to help consumers who wish to sell their home before it goes on the market.
This is also a way to increase the listing fee and provide help for the issue prior to the listing. In the IPO grey market, there are two types of transactions that take place:
- IPO stocks are traded at a premium in the grey market.
- At a kostak, an IPO application is traded.
What is grey Market Premium?
The Grey Market Premium, or GMP, is the price at which IPO stock shares are exchanged in the grey market.
This could be correct or incorrect, implying that the grey market trading price is greater or cheaper than the issue price, depending on demand and supply for the stocks.
Typically, individuals who do not want to incur the risk of their shares not being allocated through an IPO can purchase shares on the grey market in the hopes of flipping them on the IPO for a profit.
What is Kostak?
The additional amount in rupees at which IPO applications are sold in the IPO Grey Market is known as kostak (or price of application). The bonus of a maximum lot retail application in an IPO is generally described as the ‘Kostak’ value.
The Kostak price is significant primarily before the offer is closed for subscription and the ultimate bidding status is made accessible to IPO participants. After the final auction status is known to investors, only a small percentage of IPO applications are exchanged.
‘Kostak’ is made for those who do not want to incur a risk on an IPO or gain from a listing.
Example:
Go air IPO
Issue Price: Rs 306 Per Equity Share (Maximum Bid price)
Lot Size: 45
Grey Market Premium: Rs 220 to Rs 230
Kostak (Rs 13770): Rs 680 to Rs 720
This means Adani Wilmar IPO applications of Rs 13770 are being traded in IPO Grey Market at Rs 680 to Rs 720.
Despite the fact that this IPO’s Grey Market Premium is roughly 75% of the issue price, the ‘Kostak’ is just 5% of the application value.
Kostak rate
The Kostak rate is the fee received by an investor who sells his or her IPO application on the grey market. Regardless of allotment status, this is the money an individual stands to gain.
Subject to Sauda
The money that an investor stands to gain by selling his or her application for firm allotment is referred to as the subject to Sauda. Firm allocation is the important operative phrase here. The sauda will be cancelled if the applicant is not allotted.
When selling an IPO application in the grey market, the client and seller agree that the sale will only be legal if the seller receives the allocation. The deal is avoided if the seller does not get any stocks throughout the IPO procedure.
FAQ
GoAir IPO Opening Date?
GoAir IPO will open in February 2022 .
GoAir IPO Allotment Date?
GoAir IPO Allotment Date is February 2022 .
GoAir IPO Listing Date?
GoAir IPO Listing date is February 2022
GoAir IPO GMP Today?
GoAir IPO Grey Market Premium is INR 0.
GoAir IPO Price Band?
GoAir IPO price Band is 0 to 0.
