Latest news with #BrigadeHotelVentures
Mint
28 minutes ago
- Business
- Mint
Brigade Hotel Ventures IPO: This small fish knows how to hunt in a big pond
After a muted start to 2025, India's IPO party is back in full swing. The stellar ₹12,500-crore offering of HDB Financial Services — the largest IPO of the year so far — has boosted investors' confidence and reignited their appetite for public issues. With more than $30 billion expected to be raised in the next 12 months, India's IPO pipeline is bursting with high-value deals and strong institutional interest. This week, Dalal Street will see 10 IPOs ready for launch and three companies gearing up to list. Among the most anticipated offerings is that of Brigade Hotel Ventures. Here's all you need to know about the IPO. What is Brigade Hotel Ventures? Brigade Hotel Ventures Ltd develops and owns hotels in cities, primarily across south India. The company is a wholly owned subsidiary of Brigade Enterprises Ltd, a leading Indian real estate developer. The company owns chain-affiliated hotels and rooms in Kerala, Andhra Pradesh, Tamil Nadu, Karnataka and Telangana, as well as the Union Territories of Lakshadweep, Andaman and Nicobar Islands, and Pondicherry. Its hotels provide a comprehensive experience, including fine dining and specialty restaurants, venues for meetings, incentives, conferences, and exhibitions (the 'MICE' market), lounges, swimming pools, outdoor spaces, spas and gymnasiums. Brigade Enterprises Limited (BEL), ventured into hospitality in 2004 by launching Grand Mercure Bangalore, which began operations in 2009. What sets this IPO apart? How is the IPO structured? The IPO offering consists solely of new equity shares with no offer-for-sale (OFS) component. How does Brigade Hotel Ventures plan to use the proceeds? What's the grey market premium? As of 22 July the grey market premium (GMP) for Brigade Hotel Ventures stood at ₹17, implying a listing price of ₹107, an 18.9% premium to the issue's upper band. The GMP has been trending upward in recent sessions, signalling expectations of a firm listing. Brigade Hotel Ventures vs its peers Brigade Hotel Ventures is a relatively small player in the hospitality space, with revenue of ₹401.7 crore, far lower than that of giants such as Indian Hotels (Taj) and EIH (Oberoi). However, has an exceptionally high return on net worth (RoNW) of 53.01%, significantly higher than all its listed peers, indicating strong capital efficiency. Its basic earnings per share (EPS) of ₹0.88 is modest but positive, unlike that of loss-making players such as Samhi Hotels. While its net worth of ₹58.74 crore is the lowest in the group, the company benefits from brand partnerships with global hospitality majors such as Marriott and Accor. What are the financials like? Revenue grew steadily from ₹840.67 crore in FY23 to ₹947.57 crore in FY25, while Ebitda rose from ₹113.98 crore to ₹166.87 crore. After a loss in FY23, the company turned profitable in FY24 with a profit after tax (PAT) of ₹31.14 crore. PAT came in at ₹23.66 crore in FY25. Net worth also improved significantly to ₹78.58 crore in FY25. Over the past three years, the company has delivered a revenue CAGR of 6.2%. What are the risks? What's next for Brigade Hotel Ventures? The company's expansion strategy focuses on high-growth regions with demand, in line with its long-term strategic objectives. It plans to develop three luxury properties, including the Intercontinental Hyderabad at Brigade Neopolis, the Grand Hyatt Resort on East Coast Road (ECR) in Chennai, and a luxury resort at Vaikom Island, Kerala. It also aims to complete the construction of a luxury beach resort in Chennai and the two upper-midscale hotels in Bengaluru FY28, and another two hotels by FY29. Conclusion The India's hotel industry is entering an exciting phase. With more people travelling for leisure, religious tourism, and business, over one lakh new rooms are expected to be added by 2029. From improved infrastructure to rising incomes, everything's pointing to one thing: a travel boom that's here to stay. For Brigade Hotel Ventures, this comes at just the right time. With a presence in major cities and growing destinations such as Mysuru and GIFT City, it's already where the action is shifting. Happy investing! Disclaimer: This article is for information purposes only. It is not a stock recommendation and should not be treated as such. This article is syndicated from
Business Standard
10 hours ago
- Business
- Business Standard
Brigade Hotel Ventures IPO subscribed 63%
The offer received bids for 3.20 crore shares as against 5.11 crore shares on offer. The initial public offer of Brigade Hotel Ventures received bids for 3,20,21,234 shares as against 5,11,93,987 shares on offer, according to stock exchange data at 17:00 IST on Thursday (24 July 2025). The issue was subscribed 0.63 times. The issue opened for bidding on 24 July 2025 and it will close on 28 July 2025. The price band of the IPO is fixed between Rs 85 and 90 per share. An investor can bid for a minimum of 166 equity shares and in multiples thereof. The IPO comprises a fresh issue of Rs 759.6 crore. Of the proceeds, Rs 468.14 crore will be used for repayment, prepayment, or redemption (in full or in part) of certain borrowings availed by the company and its material subsidiary, SRP Prosperita Hotel Ventures Limited. An amount of Rs 107.52 crore will be utilized for the purchase of an undivided share of land from the companys promoters (BEL), while the remaining funds will be allocated for general corporate purposes. Brigade Hotel Ventures (BHVL), a wholly owned subsidiary of Brigade Enterprises (BEL), is a leading hotel owner and developer in South India. The company operates nine hotels with 1,604 keys across key cities like Bengaluru, Chennai, Kochi, Mysuru, and GIFT City, in partnership with global hospitality brands such as Marriott, Accor, and IHG. BHVL plans to expand its portfolio with new luxury and upper midscale properties under brands like Grand Hyatt, Fairfield by Marriott, InterContinental, and The Ritz-Carlton, targeting completion between FY28 and FY29. Ahead of the IPO, Brigade Hotel Ventures on Wednesday, 23 July 2025, raised Rs 324.72 crore from anchor investors. The board allotted 3.60 crore shares at Rs 90 each to 17 anchor investors.
Mint
12 hours ago
- Business
- Mint
Brigade Hotel Ventures IPO booked 0.67 times on Day 01; retail portion oversubscribed
The initial public offering (IPO) of Brigade Hotel Ventures received a healthy response on its first day of bidding, July 24, with investors placing bids for 3.21 crore shares against the total offer of 4.83 crore shares, resulting in an overall subscription of 0.67 times by the end of Day 1, according to exchange data. Retail investors showed strong interest, with their portion subscribed 2.66 times, while the non-institutional investors' portion was booked 0.45 times. The QIB (Qualified Institutional Buyers) portion was subscribed just 0.08 times. Brigade Hotel Ventures aims to raise ₹ 759.60 crore through the IPO, which is entirely a fresh issue of 8.44 crore shares. The IPO lot size is fixed at 166 shares, requiring a minimum investment of ₹ 14,940 for retail investors. The price band for the issue is set between ₹ 85 and ₹ 90 per share. The allotment for the IPO is expected to be finalized on Tuesday, July 29, 2025, and the shares are scheduled to list on both the NSE and BSE, with a tentative listing date of Thursday, July 31. JM Financial Limited is the book-running lead manager to the issue, while Kfin Technologies Limited is acting as the registrar. The company proposed to utilize the proceeds from the IPO for repayment or prepayment, in full or in part, of certain outstanding borrowings availed by the company and its material subsidiary, SRP Prosperita Hotel Ventures Limited. It will also use the funds for payment of consideration for the purchase of an undivided share of land from the promoter, pursue inorganic growth through unidentified acquisitions and other strategic initiatives, and for general corporate purposes. As of today, the grey market premium (GMP) for Brigade Hotel Ventures IPO stands at ₹ 9 per share. This suggests that the shares are anticipated to list at ₹ 9 above their issue price. With this GMP and the IPO's upper price band, the estimated listing price of the shares would be ₹ 99, reflecting a 10% premium. The grey market premium represents the expected difference between an IPO's issue price and its anticipated listing price in the unofficial market. However, it's important to remember that GMP is a preliminary indicator and should not be the sole factor in making investment decisions. Brigade Hotel Ventures Limited is the owner and developer of hotels in key cities in India, primarily across South India. The company is a wholly owned subsidiary of BEL, which is one of the leading Indian real estate developers in India. The company owns chain-affiliated hotels and rooms in South India (comprising the states of Kerala, Andhra Pradesh, Tamil Nadu, Karnataka, and Telangana and the Union territories of Lakshadweep, Andaman and Nicobar Islands, and Pondicherry) among major private hotel asset owners (i.e., owning at least 500 rooms pan India) as of March 31, 2025. The hotels provide a comprehensive customer experience, including fine dining and specialty restaurants, venues for meetings, incentives, conferences, and exhibitions ('MICE'), lounges, swimming pools, outdoor spaces, spas, and gymnasiums. Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.
Mint
16 hours ago
- Business
- Mint
IPO GMPs: Brigade Hotel Ventures IPO vs IndiQube Spaces IPO vs GNG Electronics IPO — What grey market hints at?
This week is lively with IPO activities, as GNG Electronics IPO, Indiqube Spaces IPO, and Brigade Hotel Ventures IPO have already entered the Indian stock market, while Shanti Gold International IPO is scheduled to enter the primary market tomorrow, Friday, July 25. The GNG Electronics IPO and Indiqube Spaces IPO have both achieved full subscriptions on their second day, whereas Brigade Hotel Ventures IPO has not yet reached that milestone on its first day. Mohit Gulati, the CIO and managing partner of ITI Growth Opportunities Fund, said that in comparing the GNG Electronics, Indiqube Spaces, and Brigade Hotel Ventures IPOs, retail investors face a challenging decision amid shifting Indian macroeconomic conditions. Although GNG Electronics shows initial subscription strength, its stretched valuations and working capital concerns raise red flags. Indiqube Spaces presents a high-growth narrative in flexible workspaces but remains loss-making with limited retail allocation, increasing its risk profile. Brigade Hotel Ventures, backed by stable hospitality assets, offers relative defensiveness though the sector is cyclical and currently under pressure. Gulati believes that given ongoing inflationary pressures, slowing economic growth, and reduced market depth, the risk-reward ratio for subscribing to these IPOs has worsened significantly. The current environment does not favor aggressive investments in highly valued or early-stage issues. 'While the broader Indian IPO market shows resilience and a strong pipeline, retail investors should exercise caution and prefer a selective, wait-and-watch approach until macro conditions stabilize and liquidity improves. Ultimately, none of these IPOs stand out as a clear winner for retail subscription under prevailing market dynamics,' advised Mohit Gulati. Let's take a look at the grey market premium trends: IndiQube Spaces IPO grey market premium is +14. This indicates IndiQube Spaces share price is trading at a premium of ₹ 14 in the grey market, according to Considering the upper end of the IndiQube Spaces IPO price band and the current premium in the grey market, the estimated listing price of IndiQube Spaces share price is indicated at ₹ 251 apiece, which is 5.91% higher than the IPO price of ₹ 237. Analysing the grey market activities from the last eight sessions, the current GMP ( ₹ 14) indicates a trend towards decline. The lowest GMP recorded is ₹ 0.00, and the highest is ₹ 40, as per insights from experts. GNG Electronics IPO grey market premium is +100. This indicates GNG Electronics share price is trading at a premium of ₹ 100 in the grey market, according to Considering the upper end of the GNG Electronics IPO price band and the current premium in the grey market, the estimated listing price of GNG Electronics shares is ₹ 337 apiece, which is 42.19% higher than the IPO price of ₹ 237. Following the last seven sessions of grey market activities, the current IPO GMP is showing an upward trend, indicating a robust listing anticipated. The minimum GMP recorded is ₹ 71.00, whereas the maximum GMP is ₹ 105, as per insights from experts. Brigade Hotel IPO GMP is +8. This indicates Brigade Hotel Ventures share price is trading at a premium of ₹ 8 in the grey market, according to Considering the upper end of the Brigade Hotel IPO price band and the current premium in the grey market, the estimated listing price of Brigade Hotel Ventures share price is indicated at ₹ 98 apiece, which is 8.89% higher than the IPO price of ₹ 90. According to the grey market activities observed over the last seven sessions, the current GMP ( ₹ 8) indicates a trend toward declining values. The lowest GMP recorded is ₹ 0.00, while the highest stands at ₹ 17, as per experts from 'Grey market premium' indicates investors' readiness to pay more than the issue price. Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decision.
Mint
21 hours ago
- Business
- Mint
Brigade Hotel Ventures IPO: Hospitality firm raises ₹325 crore from anchor investors ahead of opening of public issue
Brigade Hotel Ventures Ltd, a hotel owner and developer in South India, has raised ₹ 324.7 crore from anchor investors ahead of its IPO opening for public subscription. According to the exchange filing, notable investors like SBI Mutual Fund, 360 One MF, Axis MF, Motilal Oswal MF, Bandhan MF, Edelweiss MF, and Nuvama MF participated in the anchor book. The company allocated over 3.6 crore shares to 17 institutional investors at ₹ 90 each, totaling ₹ 324.72 crore. Out of the total allocation of 3.6 crore equity shares to the Anchor Investors, 2,54,88,636 Equity Shares (i.e. 70.64% of the total allocation to Anchor Investors) were allocated to 6 domestic mutual funds through a total of 12 schemes. Brigade Hotel Ventures IPO will open on Thursday and close on July 28, with a price band of ₹ 85– ₹ 90 per share. At the upper price band, the company's valuation stands at over ₹ 3,400 crore. This IPO is a completely fresh issue worth ₹ 759.6 crore, with no offer-for-sale component. Of the proceeds, ₹ 468.14 crore will go toward debt repayment, ₹ 107.52 crore will be used to buy a share of land from promoter Brigade Enterprises Ltd (BEL), and the rest will support acquisitions, strategic growth, and general corporate purposes. Earlier in the month, Brigade Hotel Ventures also raised ₹ 126 crore through a stake sale to 360 ONE Alternates Asset Management. Brigade Hotel Ventures, a subsidiary of Bengaluru-based BEL, entered the hospitality sector in 2004 and began operations with its first hotel, Grand Mercure Bangalore, in 2009. Today, it operates nine hotels with 1,604 rooms across cities like Bengaluru, Chennai, Kochi, Mysuru, and GIFT City, managed by global chains such as Marriott, Accor, and IHG. For the IPO, 75% of the shares are reserved for qualified institutional buyers, 15% for non-institutional investors, and 10% for retail investors. JM Financial and ICICI Securities are the lead managers, and the stock is expected to debut on the exchanges on July 31.
