Grand Continent Hotels IPO closes today; subscription lags at 48%, GMP nil

Grand Continent Hotels IPO, valued at around ₹74.46 crore, comprises a fresh issue of 6.26 million equity shares and an offer for sale, with promoter Ramesh Siva divesting 0.32 million equity shares

Grand Continent Hotels IPO Day 3: The three-day subscription window to bid for the initial public offering (IPO) of Grand Continent Hotels is set to conclude today, March 24, 2025. The SME offering, which opened for subscription on Thursday, March 20, 2025, has received a muted response from investors, with the issue being subscribed to by nearly 48 per cent by the end of the second day of subscription on Friday, March 21, 2025, according to the data available on the National Stock Exchange (NSE).

 

Qualified Institutional Buyers have placed the highest bids, subscribing to the category reserved for them by 71 per cent. This is followed by the retail investors (NIIs) at 44 per cent and Non-Institutional Investors at 14 per cent.

 

Grand Continent Hotels IPO details

The Grand Continent Hotels IPO, valued at around ₹74.46 crore, comprises a fresh issue of 6.26 million equity shares and an offer for sale (OFS), with promoter Ramesh Siva divesting 0.32 million equity shares.  ALSO READ | Desco Infratech IPO opens today; check price band, lot size, GMP, key dates

 

The public offering is available at a price band of Rs 107-113 per share, with a lot size of 1,200 shares. A retail investor can bid for a minimum of 1,200 shares and in multiples thereof, requiring a minimum investment amount of Rs 1,35,600 (at the upper end of the IPO price). A Net-worth Individual (HNI) would require a minimum of ₹2,71,200 to bid for a minimum of two lots of 2,400 equity shares.

 

Grand Continent Hotels IPO grey market premium (GMP)

The unlisted shares of Grand Continent Hotels were trading flat at around ₹113 apiece, which is also the upper end of the IPO price, according to sources tracking unofficial market activities. Thus, the Grand Continent Hotels IPO’s grey market premium (GMP) remains Nil on Monday.

 

Grand Continent Hotels IPO allotment date, listing date

Once the subscription window concludes, the basis of allotment for Grand Continent Hotels IPO shares is likely to be finalised on Tuesday, March 25, 2025. The successful allottees will receive the company's shares in their demat accounts by Wednesday, March 26, 2025.

 

Grand Continent Hotels shares are slated to list on the NSE SME, tentatively on Thursday, March 27, 2025.

 

Grand Continent Hotels registrar, lead manager

Link Intime India serves as the registrar, while Indorient Financial Services acts as the sole book-running lead manager for the offering.  ALSO READ | Shri Ahimsa Naturals IPO opens on March 25; check GMP, dates, other details

 

Grand Continent Hotels IPO objective

Grand Continent Hotels will not receive the proceeds from the offer for sale, as it will be given to promoter Ramesh Siva, who is participating in the OFS. The company, however, proposes to utilize the proceeds from the fresh issue for the repayment and/or prepayment, in full or in part, of certain outstanding borrowings availed, as well as for the expansion of the hotel properties in India. It will also use the proceeds from the fresh issue for general corporate purposes.

 

About Grand Continent Hotels

Grand Continent Hotels is a mid-scale hotel chain, catering to the upper-mid-priced, mid-priced, and economy segments. As of September 30, 2024, Grand Continent Hotels operates 16 hotels with a total of 753 keys across Karnataka (Bengaluru), Tamil Nadu (Hosur), Goa (Anjuna), Andhra Pradesh (Tirupati), and Telangana (Secunderabad). The company's adjusted occupancy rates, as per the Red Herring Prospectus (RHP), were 72.33 percent for the six months ended September 30, 2024, 75.17 per cent for FY 2024, 79 per cent for FY 2023, and 61.90 percent for FY 2022.