Synopsis:
Travel Food Services Limited IPO opens July 7 with a pure offer for sale worth ₹2,000 crore. GMP indicates a ₹30 premium over the ₹1,100 cap price.
Travel Food Services Limited is launching its Initial Public Offering (IPO) to raise funds through a 100 percent book-built offer. The IPO comprises a pure offer for the sale of equity shares aggregating up to Rs. 2,000 crore. There is no fresh issue component in this IPO. The IPO opens for subscription on July 7, 2025, and closes on July 9, 2025. The shares will be listed on NSE and BSE on Monday, July 14, 2025. Here’s everything you need to know.
GMP of Travel Food Services Limited IPO
As of July 7th, 2025, the shares of Travel Food Services Limited in the grey market were trading at a 2.73 percent premium. The shares in the Grey Market traded at Rs. 1,130. This gives it a premium of Rs. 30 per share over the cap price of Rs. 1,100.
Overview of Travel Food Services Limited
Travel Food Services Limited was incorporated in 2007 and is one of India’s leading players in airport food and beverage services. The company operates in two main segments, such as quick service restaurants (QSR) and airport lounges. It runs 442 QSR outlets under 127 different brands, including both in-house and partner names, across India and Malaysia as of June 30, 2024.
The company’s QSR business offers a variety of food and beverage options designed for travelers who want speed, convenience, and quality. Its lounge business provides premium waiting areas in airport terminals for first and business-class passengers, cardholders, and loyalty program members.
Travel Food Services has a presence in 14 Indian airports, 3 airports in Malaysia, and 1 airport in Hong Kong, with a long-standing presence at major hubs like Delhi, Mumbai, Chennai, Hyderabad, Kolkata, and Bengaluru Airport.
Travel Food Services has a long-standing presence at several key airports, such as 15 years at Mumbai Airport, 14 years at Delhi Airport, 11 years at Chennai Airport, and 5 years at Bengaluru Airport. This sustained presence demonstrates the company’s operational reliability and strong airport partnerships in the competitive travel hospitality space.
Promoters of Travel Food Services
The promoters of Travel Food Services Limited include SSP Group PLC, SSP Group Holdings Limited, SSP Financing Limited, SSP Asia Pacific Holdings Limited, Kapur Family Trust, Varun Kapur, and Karan Kapur. Together, they bring a blend of international travel retail expertise and strong leadership in the Indian food and beverage sector.
Travel Food Services Selling Shareholders
The entire IPO is an offer for sale (OFS) of equity shares by the Kapur Family Trust. The trust is offloading shares worth Rs. 2,000 crore. No fresh issue of equity shares is involved in this offer.
Lead Managers of Travel Food Services IPO
Kotak Mahindra Capital Company, HSBC Securities and Capital Markets (India) Private, ICICI Securities, and Batlivala & Karani Securities India Private Limited are the book-running lead managers for this IPO. MUFG Intime India Private Limited is the registrar to the issue.
Objectives of the IPO Offer
The IPO proceeds will go directly to the selling shareholder, the Kapur Family Trust. The company will not receive any funds from the offer.
Financial Analysis of Travel Food Services
Travel Food Services Limited’s revenue has increased from Rs. 1,396.32 crore in FY24 to Rs. 1,687.74 crore in FY25, which represents a growth of 20.87 percent. The net profit has increased by 27.35 percent from Rs. 298.12 crore in FY24 to Rs. 379.66 crore in FY25. Travel Food Services Limited’s revenue and net profit have grown at a CAGR of 25.76 percent and 22.91 percent, respectively, over the last two years.
Travel Food Services Limited Vs peers
Travel Food Services reported revenue of Rs. 1,687.74 crore in FY2025 with an EPS of Rs. 27.58 and RoNW of 34.64 percent. In comparison, Jubilant FoodWorks Limited earned Rs. 8,141.73 crore with an EPS of Rs. 3.41 and a RoNW of 10.02 percent. Sapphire Foods
India Limited reported Rs. 2,881.86 crore in revenue, Rs. 0.60 EPS, and a RoNW of 1.38 percent. The company also has other peers like Devyani International Limited, Westlife Foodworld Limited, and Restaurant Brands Asia Limited.
The company’s net asset value per share is Rs. 79.62, compared to Rs. 31.87 for Jubilant FoodWorks, Rs. 9.07 for Devyani International Limited, Rs. 38.70 for Westlife Foodworld Limited, and Rs. 15.61 for Restaurant Brands Asia Limited.
Strengths of Travel Food Services
- Leading operator in India’s travel F&B sector with a strong market presence.
- Diverse brand partnerships with global and Indian F&B names.
- Long-term contracts at major airports and railway stations.
- Experienced promoters with international F&B expertise.
- Consistent revenue growth and improved profitability.
Weaknesses of Travel Food Services
- Entire IPO is an Offer for Sale, with no fresh capital for business expansion.
- Dependent on travel industry trends and passenger traffic volumes.
- Limited presence outside travel locations compared to some peers.
- Exposed to regulatory changes affecting airport and railway concessions.
- Vulnerable to economic downturns and disruptions in travel.
Conclusion
Travel Food Services Limited’s IPO offers investors a chance to participate in India’s growing travel F&B market. The company’s strong brand partnerships and exclusive contracts at transport hubs provide growth potential. However, the IPO is purely an Offer for Sale, and investors should consider industry risks and financial performance before investing.
Written By – Nikhil Naik
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