Apeejay Surrendra Park Hotels IPO: Retail Portion Booked 30.35 Times, QIB 75.14 Times on Day 3

Apeejay Surrendra Park Hotels opened its initial public offering (IPO) for subscription on February 5, 2024, and will close on February 7, 2024. The company has fixed the IPO price at Rs 147 to Rs 155 per share. The hospitality company’s IPO is a book-built issue of Rs 920 crore, consisting of a fresh issue of Rs 600 crore and an offer for sale of Rs 320 crore.

About the company:

Apeejay Surrendra Park Hotels Limited (ASPHL) holds the eighth position among hotel chains with asset ownership in India. ASPHL operates under five brands – THE Park, THE Park Collection, Zone by The Park, Zone Connect by The Park, and Stop by Zone. The company has hotels situated in Bangalore, Chennai, Goa, Hyderabad, Indore, Kolkata, Mumbai, Navi Mumbai, New Delhi, and Visakhapatnam.

Issue Subscription

Subscribers subscribed to the issue 59.66 times, exceeding the total number of shares of 3.47 crore shares. Retail investors subscribed to the portion 30.35 times against 61.9 lakh shares, while the employee portion experienced a subscription of 5.42 times. The non-Institutional Investors (NIIS) portion saw a subscription of 52.41 times against 92.85 lakh shares. Qualified Institutional Buyers (QIBs) booked 75.14 times against the allotment of 1.85 crore shares.

Also read: Jana Small Finance Bank IPO: Check Out Price Band, Issue Size & More

Price Band

The company has fixed the IPO price at Rs 147 to Rs 155 per share.

Issue Size

The hospitality company’s IPO is a book-built issue of Rs 920 crore. It consists of a fresh issue of Rs 600 crore and an offer for sale of Rs 320 crore.

IPO Reserve Portion

• Qualified institutional investors (QIBs): The company will be offering 75% of the net offering
• Non-institutional investors (NIIs): 15% of the net offering
• Retail investors: 10% of the net offer

Objectives of the Issue

The company intends to use the net proceeds for the repayment or prepayment, either in full or in part, of certain outstanding borrowings availed by the company, as well as for general corporate expenses.

Disclaimer: The information provided in this blog post is for informational purposes only and should not be construed as investment or trading advice. The author is not a financial advisor and does not have any professional qualifications in this area. The author does not guarantee the accuracy or completeness of the information provided. Any action you take based on the information in this blog post is done at your own risk. Please consult with a financial advisor before making any investment decisions.