Rategain Travel Technologies Limited IPO Message Board (Page 18)

After so many analysis and research given by senior members you must have understood that you can get some unexpected gain or unexpected loss in this RTT ipo, there is no surety of either of it, So be prepared to take the bait. ya toh daana kha k udd jaoge ya jaal me fans jaoge..

So be wise and decide yourself if you can handle/digest the unexpected.

Thanks

@RateGain
Where will you see yourself after 5 years?

Beside Elon Musk Tesla office. Just funnnnn

@VentureStack Partners
Who are you? Broking firm ? Or an independent advisory firm ? Never heard about your firm. Would like to know about your firm.

Wow! The number of "New Member" posts is just increasing by the day!

It maybe the next Google or the next Reliance Power in the making...but this desperation is unseen on this forum in the last so many years!

Earlier it seems more intellectual "New Member" were advocating for the IPO and when some of us called it out the "New Member" now are putting up less intellectual and more basic posts but still encouraging to Apply!

FEELING EVEN MORE EMBOLDENDED TO STAY AWAY WITH SUCH DESPERATION AND PROPAGANDA! Will buy it from secondary market if it makes sense, ever, later...

I think this article nicely describes benefits to subscribe for this IPO...Must read https://epaper.bizzbuzz.news/Home/ShareArticle?OrgId=812c5aa223a&imageview=1

Does anyone have the link for analyst investor meet for this company ?

Gmp 120/125

Gmp of Rategain is 122 - 126 rs..

Rategain me kya kar na hai apply or not?

Let us wait for the assessment and opinion of senior members

Greetings Investors!

Let us start by saying that a lot of prospective applicants on this IPO''s message board do not have a clear understanding of what SaaS, PaaS, or BPaaS really means or to put it more specifically in the context of this IPO, what Rategain really does. A lot also do not have a clear understanding of how tech outsourcing/ contracting is different from usual contracting. A sincere word of caution for such naive investors who may simply be gambling with their hard earned money on something they have little to no understanding of, something which may cause losses as big or small they may be.

Another point we would like to make is that prospective applicants should not be solely and completely driven by market sentiments and unverifiable indicators like GMP and traction over social media. Reading the RHP carefully must be the first step before applying for an IPO as it exposes an investor to a lot of information, information that''s necessary for making an informed and safe decision with regards to your money. We thereby suggest prospective investors to take some time reading through Rategain''s RHP for their own and larger benefit. We all love to quote people like Warren Buffet but often forget the kind of tenacity for undertaking basic groundwork that he possesses.

Finally coming to our stand on Rategain and this IPO, we do not feel that the company really has the solid credentials to be a success. Selectively quoting a statement out of some 3rd party analysis by the likes of PhoCusWright, a publication owned by Northstar which in itself is a travel ''MARKETING'' company is only bound to fool an ignorant mind. Ironically, Northstar too offers a somewhat similar SaaS solution for travel bookings and there are numerous other players in the market who are much bigger than Rategain. Further on, in an era of cloud infrastructure/ computing where companies are increasingly driven by an ''asset light'' model, a tech startup planning to invest heavily in setting up a dedicated data centre just doesn''t make any sense. It will not only be a serious capex drag but would also affect opex as the cost of maintenance and tech obsolescence starts mounting over time. Highlight also include the tax proceeding(s) against promoters and directors of the company and the amount in question. Issuing bonus shares right at the time when company was making losses just doesn''t augur well for management''s intent. Make no mistake, this ''ISN''T A TRUE BLUE TRAVEL COMPANY'' but a company that provides its services to travel companies. Even in the past, the company has relied more on growing inorganically by taking over DHISCO. A major part of the revenue is derived from distribution products, a segment which really has no moat and has several market players. Typical of a tech firm, the company derives a significant portion of it''s revenues from North Americas and Europe which isn''t really a risk but a noteworthy point in a post covid world. The statement ''biggest in India'' doesn''t hold any value when less than 1.5 percent of the overall revenue is derived from the Indian market. One extremely important point to note is around the company''s intellectual property. The company holds no patents whatsoever and has only got 5 trademarks to stand as its intellectual property. For a company that has been in business for 17 years, not having a single patent paints a really poor story about the intellectual capital present within the company.

We can go on and on but to avoid turning this into a long form essay, we feel that the company is only trying to ride the IPO bandwagon but doesn''t really possess any solid credentials worthy it''s over-enthusiastic price band. A lot of naive investors have burnt their fingers in some of the recent IPOs, IPOs that were riding solely on excessive marketing campaigns. We would be avoiding this IPO and would suggest you to surely and seriously reach out to your financial adviser before taking any investment decisions relating to this stock.

Best Wishes & Happy Investing!

@ VentureStack Partners

Why are you spewing personal attacks? If you don''t like my arguments then just counter them. Why do you feel there is a need to attack the person? You suffering from the ad hominem fallacy? Can''t handle a little disagreement? Don''t know how to carry out a civil discussion on a public forum? What, belittling me made you feel superior? You get off of condescending people?

I''ll reply to this comment of yours with my points because it''s strike one, but if you can''t reply in a civil manner, then don''t bother replying at all.

1. Ah yes. Data privacy laws. If a country implements data privacy laws, we can migrate that country''s data to the cloud service providers. The aim is to have as much autonomy over the data as we can. Also, it isn''t like the infrastructure would go waste once the laws are enforced. Could always lease your cloud infra to the cloud service providers themselves in case your needs suddenly drop.

2. One of the reasons why Google was able to take over Yahoo was because of the file management systems. Yahoo used the traditional ones, while Google realized they could be designed in a better manner, so Google developed its own. They didn''t wait to reach a "certain scale" in order to redesign the fundamentals. This way, when the internet boom happened, Google was able to scale with the demand while Yahoo lagged. I tell this story to emphasize of the importance of building your own infrastructure in case you feel like that''s the best way forward.

3. Yes, the management of data on cloud isn''t that nimble IN THE CONTEXT IN WHICH I KEPT THE POINT. Ofc, it''s scalable. I was talking about operations. When you deploy on GCP as a business, you get a team of engineers who help you set you application and maintain it. Sure, you don''t need them when you run small applications at individual levels, but you will need them when you your data is as complex, huge, and constrained, as for an organization. You need to keep them in loop and request new features, which they deliver with the appropriate documentation. In contrast, native deployment will always give better autonomy. From an autonomy pov, native will always be better than third-party deployment.

4. No points really. IDK how you differentiate. Genuinely. Not a satire. How is it marketing when Happiest Mind''s did it, but deception when Rategain is doing similar things in similar circumstances?

5. You said and I quote, "this ''''ISN''''T A TRUE BLUE TRAVEL COMPANY'''' but a company that provides its services to travel companies." [CAPS are yours]
I looked up if "blue travel company" is a technical term, but nothing really came up. So for a second I thought you meant "blue chip", but you used a ''but'', so your second phrase is presented as a negation to the first one. The second phrase is that this is a B2B company. That implied that the first phrase would have meant "this is not a B2C company."

Maybe you meant something else [If I were like you, I would attack you here for your ineffective writing skills, because you''re using phrases that are cryptic as hell while trying to "explain" things to regular investors.]

6. My bad. I wanted to say "customer-related data providing SaaS" company, but missed those words while re-wording.

7. Wow, really? You feel companies pay for code? No. Companies pay for people who can understand and tweak the code. I''ll prove this with an example: open source. The entire codebase of the VLC Media Player, the biggest media player in the world right now, is open source. Still, they make money by providing custom features to enterprises (this is something a lot of open source org do). Why don''t those enterprises "hire anyone with half a decent knowledge of programming to write a few lines of code for them?" Because no one pays for code. People pay for the ability to understand, modify, and explain the code.

8. My point was never about the code. It was about algorithms. You do data analytics by using mathematical techniques and those cannot be patented. I know those tech giants have patents..... who design or build tangible things. Sure, Apple has patents. But what for? For the designs they make. Not the algorithms. For example, Apple''s RAM compression algorithm is state of the art (which is why iPhones with 2 GB RAM can sometimes run faster than Android phones with 4GB RAM), but they can''t patent it because you can only patent tangible things.

Even your summary has a personal attack. Hate the game, buddy, not the player. I''m not defending RateGain because I have no information about RateGain. Like I mentioned before, I''m arguing against your choice of metrics, not your conclusions.

Thank you @VentureStackPartners, you deserve a big thank you. your review helped a lot for not applying in this IPO. saved from the discount listing.

By the time @ VentureStackPartners has provided with the details as regards the operation and future prospect of the company by giving his own narration and his counter argument against a concerted effort by a bevy of mam (new members) and some others (mostly new) who have set in to approve something.

New jargons are coming to marketing - loss making and loss incurring .What we know is neither gives any indication of profit. As an investor we want profit which adds to book value and in turn helps its market price when you may be able to put some gas in it.
Increase of customer base ( growth with losses ) is no business sense for an investor . Such investment is speculative and some speculator also can make money with their sense.

If the business is really unique and now in mud due to Covid, it should be an opportunity for us to grab it at lower price taking some risk. But the thing is not like that. A hugely distressed property is attempted to be sold at sky high price to befool the people, creating a rosy picture of the future.
Now take a simple thing .Its pre-covid revenue is less than 300cr in 365 days inspite of working in so many countries . So it do not have the ability to generate 1 cr. revenue per day at the peak of its business.
Thanks @ SVP for his contribution.

Greetings @AsokeSarkar!

You nailed it pretty well and we hope that any serious investor present on this message board would have certainly taken notice by now. We know of a few who have certainly noticed and even called out this ''New Member'' propaganda.

We extend our warm regards once again.

Best Wishes & Happy Investing!

Rategain 150 buyer

Company business model is very good. There may be concerns over valuations. But no listed peer available. Company caters in Tourism and Hospitality industry. Leader in segment. Which provides software as a service. Data as a service. Martech which is marketing technology.

RATE@500...... people/experts on forum behaves Like Paytm. jack of all master of none. everyone cant understand every business.

@Tradingforlife - Congratulations on making 17/18% on a stock from its IPO price after it had fallen over 30% from its IPO price. Great that this strategy works for you...just doesn't for me and I shared my perspective which you are free to ignore going forward. Also, let's maintain civility and avoid name calling!

My strategy.

Apply with full force. Good company for listing gains in short to medium term.

It is amusing to see that there is a concerted effort to hard sell this LOSS MAKING or INCURRING LOSS IPO company after fixing exorbitant price band. Suddenly grey market prices are inching up! Investors are utterly confused. But luckily investors have many many other IPOs are there for a choice.

We are trying to convince ourselves to apply for RATGAIN ipo, but the kind of shadow and proxy war being waged on review front is astonishing and hard to be ignored.

One front is overselling to subscribe and the other one is saying not to.. 🤣🤣🤣😂😂😂

Better for me to take chances in other IPOs

Most probably be Shriram Prop. will be ignored but let''s see the response till last day noon.

@ K atar brother
Don''t take decision so early. You are the umpire for youself. Only wait and judge if there is opportunity for listing time play as an IPO is primarily meant for that.
Let people say whatever they like , let happen whatever is in store.

Matlob jitna sambhob dana khake bhago.

@ Sir Asoke sarkar

Message is well received Sir.. And - ami bhalo bujhjhi.

Kind Regards 🙏

Company Business Model is Good.

Hope Pricing is done reasonably for it to fire.

RateGain’s revenue has recovered 30% even though the world has still not completely opened and most of Europe and South East Asia has been shut including China. This ofcourse is because of their heavy reliance on United states for revenue which is also the biggest generator of tourism receipts according to the industry section. There five months revenue from the US is already trending towards 180-200 crores compared to 160 crore in last two fiscals. This growth is primarily driven from their Martech business which has grown by over 170% in first five months in a marketwhere they have 4-5% penetration right now.
This is what makes the stock very interesting to me – a very clear path of growth and also that growth visible on paper in a COVID year

@DebmalyaDutta

In what part of the world is 30% considered a recovery? World travel for Geos where Rategain derives 99% of its revenues, namely the US and Europe has been open for a large part of this year. America isn''t the leader when it comes to tourism capital of the world. That title is held by France and rightly so.

While talking of YoY numbers, we must take notice of over 12% rise in total comprehensive losses for the company from last year when literally the whole world was under a complete lock-down. If anything, things should have gotten better but have instead got worse. If anything, only losses and degrowth is visible as far as whats written in the papers (read: RFP) is concerned.

Rategain isn''t the only player in Travel Martech space and the global market is full of players of all shapes and sizes. Thinking that Rategain is a lone player and would have the whole world to themselves is nothing more than a pipe dream.

Rategain Premium 120

Gmp of Rategain travel is 128 - 132 rs..

@ Dixita

Your post is a copy of a part of @ Jaishree mam.
What for is this concerted effort ?

Quoting LiveMint article

RateGain IPO GMP: According to market observers, RateGain IPO GMP today is Rs 140, which is Rs 25 higher from its yesterday''s GMP of Rs 115. They said that RateGain shares made debut in the grey market at a premium of Rs 85 and in last three days, this grey market premium has gone up to Rs 140 that reflects strong conviction of the investors in regard to the public issue.

Asset light , new age loss mking buisness what we need to make everyone excited

An ASSET LIGHT model?

The company is raising a significant part of the capital to fund setting up of a data centre in Dallas, TX; something that would be a burden on the bottom line for all times to come and in this day and age of cloud computing it can be termed anything but ASSET LIGHT.

If by ASSET LIGHT one means putting the company''s 510 permanent employees against company''s topline, the revenue per employee turning out abysmally low then one might be right. If by ASSET LIGHT one means that in spite of being in business for almost 17 years, not owning even a single patent then it is surely supremely ASSET LIGHT. If by asset light one means an overall employee attrition rate exceeding the industry norm and the company loosing on its human capital left right and centre then yes, it is definitely ASSET LIGHT.

To sum it up, the company is anything but ASSET LIGHT. The only way that it has survived is through private funding at regular intervals as is also evident for the last 3 year''s financials.

A Very simple comparison for everyone is the comparison with Latent view analytics to understand how the SaaS business model is different from traditional IT- Latent view at a 300CR revenue has over 1000-1200 employees where as RateGain pre-pandemic with 400CR revenue was around 600 employees.
So that’s 65 lakhs per employee v/s 30 lakhs per employee.
Now for each new project Latent view would need more employees but this is not true for RateGain – which means that as the company goes from 300-500-1000 crores the revenue per employee will increase as well –which would mean the margin would improve as well – which might not be the case with an IT company.

Only aspect of concern in this ipo is that company ONLY caters to ''travel & hospitality'' sector, which is harshly hit by corona virus since 1 and half years. And the emergence of new variants, giving no chance to the industry to recover.
The company is incurring losses since 2 years (2020 & 2021)
The company earned a profit (meager) 11.5 crore in 2019
As per object of the ipo it looks that company badly needs cash and feeling the heat.

The future of this company might not be as rosy as we might like it to be. But since we plan to invest our money so it is better to know pros and cons.

And expert and gurus suggestions and advised are most welcomed to inform us all about should we do in this ipo frenzy. 🙏

Greetings @AashiMehta!

Rategain being connected to 191,000 hotels is much like having 6 degrees of separation connecting all of us on this planet. In reality, they barely have a thousand paying clients and their 5 brand-names as their sole intellectual property after being in business of almost 17 years.

The operational aspects in a realistic business environment do not line up as swiftly as quoted by yourself since any business is exposed to numerous internal and external forces during its normal course. A subscription based pricing model anyways suffers from low customer stickiness and hence SG&A would continue to be the same percentage or even go up. We expect the latter to be a much higher possibility.

We suggest you study their financials in detail and a lot more carefully to get a wholesome perspective. There is a good reason why private equity players are staying away from this old hat junk. For IPO underwriters/ managers, the incentives are a whole lot different and hence the PR and sponsored promotions.

Best Wishes & happy Investing!

Post corona economy, it would have been a good investment decision. But at this time it''s future is highly uncertain. Also the offer was not reasonable to public.

Thanks

Of late, loss making companies are in higher demand and are vying with each other to pass on their IPOs at hefty price bands before the IPO party getting over. Retail investor should not to be carried away by GMP only.

Dear Admin Sir, Please correct the Retail quota as 10% instead of 15% mentioned in this IPO details page. Thank you.