Advertisement
When should a housing society in Mumbai start considering re...
From GST on JDAs to SEBI’s REIT reclassification and the S...
Stay ahead in the world of real estate with our daily podcas...
Stay ahead in the world of real estate with our daily podcas...
Prestige Hospitality Ventures, the hospitality arm of Prestige Group, has filed for a INR 2,700 crore IPO, comprising an INR 1,000 crore fresh issue and INR 1,700 crore offer for sale by Prestige Estates. Proceeds will fund debt repayment, business expansion, and upcoming hotel projects in Mumbai and Delhi NCR. The company operates premium hotels under brands like Marriott, Sheraton, and Conrad across Bengaluru, Chennai, Kochi, and Goa. With India's hotel industry rebounding strongly post-pandemic, Prestige's offering is expected to draw investor interest. JM Financial, CLSA, J.P. Morgan India, and Axis Capital are managing the IPO, targeting the booming luxury hospitality segment.
Prestige Hospitality Ventures, the hospitality arm of real estate major Prestige Group, has filed draft papers with the Securities and Exchange Board of India (SEBI) to launch an initial public offering (IPO) worth INR 2,700 crore. The move marks Prestige's foray into public fundraising in the booming hotel and managed accommodation sector. Advertisement
The IPO will comprise a fresh issue of shares amounting to INR 1,000 crore and an offer for sale (OFS) of INR 1,700 crore by its parent company, Prestige Estates Projects Ltd. Sources said the company may also consider a pre-IPO placement of INR 340 crore, which could reduce the fresh issue size accordingly.
Prestige Hospitality, headquartered in Bengaluru, operates premium hotels, serviced residences, and convention centres across India, mainly under brands such as Marriott, Sheraton, Conrad, and Hilton. Its portfolio includes operational hotels in Bengaluru, Chennai, Kochi, and Goa, with new properties lined up in Mumbai and Delhi NCR.
According to the draft red herring prospectus (DRHP) filed with SEBI, Prestige Hospitality plans to use the IPO proceeds to repay debts, invest in business expansion, and fund general corporate purposes. The fresh capital will help the company develop its upcoming hotel projects and enhance operational capacities in high-demand cities.
The public offering comes at a time when India's hotel industry is seeing a sharp rebound, driven by increasing domestic tourism, corporate travel, and MICE (Meetings, Incentives, Conferences, and Exhibitions) demand. Hotel occupancies and room rates across major cities like Bengaluru, Goa, Mumbai, and Delhi are trending higher than pre-pandemic levels.
Prestige Hospitality's IPO is expected to attract strong investor interest, especially with luxury and upscale hotel segments in India witnessing robust growth. Other real estate developers such as Oberoi Realty and Brigade Enterprises are also expanding their hospitality divisions to tap into this market. Leading merchant bankers such as JM Financial, CLSA India, J.P. Morgan India, and Axis Capital are managing the Prestige IPO.
If successful, Prestige Hospitality Ventures will become one of the few listed pure-play hospitality companies in India, joining the ranks of Indian Hotels Company (Taj), EIH (Oberoi), and Chalet Hotels.
5th Jun, 2025
25th May, 2023
11th May, 2023
27th Apr, 2023
Advertisement
Facebook
Whatsapp
