Upcoming IPO: Brigade Hotel Ventures has filed a draft red herring prospectus (DRHP) with market regulator Securities and Exchange Board of India (SEBI). Initial Public Offering (IPO),
The company’s IPO is a fresh issue of equity shares of full face value 10 each, total 900 crores. There is no offer-for-sale (OFS) component in this issue.
Brigade Hotel Ventures plans to use the proceeds raised from the IPO to repay certain borrowings and pursue growth strategies.
The company plans to use it as per DRHP Rs 481 crore for full or partial repayment/prepayment of borrowings taken by the company and its subsidiaries. one more Rs 10.75 crore will be allocated for payment of consideration for purchase of undivided portion of the land from the promoter. Meanwhile, the remainder will be used to pursue inorganic growth through undisclosed acquisitions and other strategic initiatives and general corporate objectives.
About Brigade Hotel Ventures
The company owns and develops hotels in major Indian cities, especially in South India. According to its DRHP, Brigade Hotel Ventures is the second-largest owner of chain-affiliated hotels and rooms in South India among major private hotel asset owners as of June 30, 2024.
The company said its hotels are operated by global leading hospitality companies such as Marriott, Accor and InterContinental Hotels Group, and are in the upper upscale, upscale, upper-midscale and midscale segments.
The number of keys has increased over the years from 1,474 keys by March 31, 2022, to 1,604 by September 30, 2024. Additionally, our average occupancy in FY2024 was 73.29%, which was higher than the industry annual occupancy. Of 64%.
The company turned profitable in the financial year ending 2024 and recorded a profit There was a loss of Rs 31.14 crore against 3.09 crore more in the last financial year A year before that it was Rs 82.7 crore.
JM Financial and ICICI Securities are the book-running lead managers while Kfin Technologies is the registrar to the issue.
