Image Source : Moneycontrol
Brigade Hotel Ventures Ltd, a subsidiary of Brigade Enterprises, kicked off its IPO subscription today, July 24, aiming to raise Rs 759.6 crore through a fresh issue of equity shares. With no offer-for-sale component, the IPO is entirely geared toward expansion and debt reduction.
Key IPO Details
- Price band: Rs 85 to Rs 90 per share
- Lot size: 166 shares
- Subscription window: July 24 to July 28
- Listing date: Tentatively July 31 on NSE and BSE
Fund Utilization
- Rs 468.14 crore for debt repayment
- Rs 107.52 crore to acquire undivided land share from promoter BEL
- Remaining funds for acquisitions and strategic initiatives
Grey Market Premium (GMP) Trends
- GMP currently stands at Rs 8 to Rs 16, indicating a listing price between Rs 98 and Rs 106
- GMP has fluctuated over the past week, peaking at Rs 19 and dipping to Rs 6
- Current sentiment suggests cautious optimism, with listing gains estimated between 8.89% and
17.78%
Business Snapshot
- Brigade operates 9 hotels with 1,604 keys across South India and GIFT City
- Collaborates with global hospitality brands like Marriott, Accor, and IHG
- FY24 net profit rebounded to Rs 31.14 crore from a Rs 3 crore loss in FY23
Should You Apply?
Investors may consider applying based on strong brand partnerships, improving financials, and strategic growth plans. However, carried-forward losses and volatile GMP trends warrant a measured approach.
Sources: LiveMint, NDTV Profit, IPOWatch.in, Chanakya NIPOTHi, Moneycontrol.
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