Travel Food Services IPO Sees Low Subscription

Travel Food Services Ltd, a major operator of airport food outlets and lounges in India and Malaysia, launched a Rs 2,000 crore IPO from July 7-9, 2025, consisting entirely of an offer-for-sale by existing shareholders, including SSP Asia Pacific Holdings and the Kapur Family Trust, so the company will not receive any proceeds. The IPO price band was set at Rs 1,045-1,100 per share, with anchor investors such as ICICI Prudential, Axis Mutual Fund, and Norway’s GPFG committing about Rs 599-600 crore. Despite this support, the IPO saw low demand, closing with only 15-25% subscription—significantly below the minimum required for allotment—reflecting tepid interest from both institutional and retail investors. Grey market activity suggested modest listing gains of 1% to 4% above the upper price band. For FY25, TFS reported revenues of Rs 1,688 crore and a 27.4% year-on-year profit rise to Rs 379.7 crore. The company operates 413 outlets and 37 lounges across 14 Indian cities and some international airports.