Mumbai: Apeejay Surrendra Park Hotels Limited announced here recently its IPO of Equity Shares priced at Rs 147 to Rs 155 aggregating to Rs 920 crores.
The Bid/Offer will open on February 5 and close on February 7, 2024.
The Company proposes to utilize the net proceeds from the fresh issue of Equity Shares towards repayment/prepayment in full or part of certain outstanding borrowings availed by the company and balance amount towards general corporate purposes.
Describing the company as +pioneers+ in the boutique hotels segment in India, Ms. Priya Paul, Chairperson and Executive Director, Apeejay Surrendra Park Hotels Limited, said the emphasis is on highlighting contemporary Indian culture in its numerous hotels and properties alongside growth also in the fast-growing Tier II and Tier III cities.
“We want good food and beverages — which is the cornerstone of our business and gets us about 92% hotel occupancy – besides our acquisition of the famed +Flury’s+ Swiss Bakery (which opened in 1927) whose outlets we are opening in India,” she said.
“Our Park Collection comprises boutique properties around India including four contract properties in Goa, while our hotel portfolio is strategically located across metros and emerging cities,” she said, adding “We have a robust plan to have 56 hotels by 2026.”
Noting that “culinary experiences are the differentiating factors”, Ms Paul said “We have popular design, food and nightlife to cater to the new generation of brands and customers who include Gen Z and Millennials in the majority (46%), besides Corporate (43%), Airlines (5-6%) among others.
Vijay Dewan, Managing Director, Apeejay Surrendra Park Hotels Limited, said “We are at the top with 92% hotel occupancy and 25-30% repeat customers, besides having Rs 524 crores Revenue last year and doing well during Covid-19 scenario.”
Lamenting the present “acute shortage of room supply” despite 1.78 lakh rooms availability in India, he said the demand for room supply kept growing at 7.5% and the company is focused in meeting it.
“Where F&B is concerned, Indians are eating out like never before and we run 81 award-winning bars and restaurants to cater to this demand,” he said, adding “Our Covid premix was very strong due to our F&B (39% in 2023 and 42% this year) with the best track of ‘desserts’ globally and now part of our robust expansion plan where we have re-engineered our menu towards efficiency.”
J M Financial Limited, Axis Capital Limited and ICICI Securities Limited are the Book Running Lead Managers or BRLMs to the issue.
