Brigade Hotel Ventures IPO: Files DRHP to SEBI for Upcoming IPO

Brigade Hotel Ventures Limited has filed its DRHP with SEBI to prepare for its upcoming public issue. This upcoming IPO is offering entirely a fresh issue of equity share worth up to Rs 900 crore.

The total aggregate size of a public issue in rupees is 900 crores, whereas the total no. of equity shares that will be issued by the company is not yet disclosed.

This IPO will follow the book-building process, with not less than 75% of the offer reserved for Qualified Institutional Buyers (QIBs), not more than 15% for Non-Institutional Investors (NIIs), and not more than 15% for retail investors is reserved.

Brigade Hotel Ventures IPO open date and close date is not yet declared. The price band & lot size will be revealed soon by the company. The Shares to be offered through the Red Herring Prospectus are proposed by the company to be listed on the BSE and NSE exchange.

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About Brigade Hotel Ventures Limited

Brigade Hotel Ventures Limited, established on August 24, 2016, is a public company based in Bengaluru, India. As a subsidiary of Brigade Enterprises Ltd., it operates within the hospitality sector, focusing on developing and managing hotels and serviced apartments. The company aims to deliver exceptional guest experiences through innovative service and high-quality accommodations. Brigade Hotel Ventures is committed to sustainability and community engagement, aligning with its vision to be a preferred developer in the hospitality industry. With an emphasis on customer-centric values and operational excellence, Brigade Hotel Ventures continues to expand its portfolio, contributing significantly to the growth of the Brigade Group and the hospitality landscape in India.

Brigade Hotel Ventures IPO Objectives

The company intends to utilize the Net Proceeds from the issue for the following purposes: repayment or prepayment of certain outstanding borrowings, including ₹412 crore for the company and ₹69 crore for its material subsidiary, SRP Prosperita Hotel Ventures Limited; purchase of an undivided share of land from the Promoter, BEL, for ₹107.519 crore; and supporting inorganic growth initiatives, acquisitions, and other strategic goals under general corporate purposes.

Financials of Brigade Hotel Ventures Limited

Brigade Hotel Ventures financials show good performance during the period ended March 31 2024, compared to March 31 2023:

1. Assets increased from Rs 840.67 crores in March 2023 to Rs 886.78 crores in March 2024, a 5.48% increase.

2. Revenue increased from Rs 350.22 crores to Rs 401.70 crores, a 14.70% increment.

3. Profit After Tax (PAT) was reported Rs -3.09 crore for year ended March 2023 whereas for March 2024 ended it shows Rs 31.14 crores.

4. Total Borrowing decreased from Rs 632.50 crores to Rs 601.19 crores, a 4.95% decrease.

Lead manager(s) and Registrar of Brigade Hotel Ventures IPO

The IPO is managed by JM Financial Limited and ICICI Securities Limited, which is the book-running lead manager for this public issue. The company has appointed Kfin Technologies Limited as the registrar for this public issue.

Promoters of Brigade Hotel Ventures Limited

Brigade Enterprises Limited is the company's identifiable promoter (s). Brigade Enterprises Limited holds 100% of the company's shares. However, post-IPO changes in their shareholding have not yet been disclosed in the Prospectus filed by the company with SEBI. To read the full DRHP, click here.

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