Samhi Hotels' Rs 1,370 cr IPO to open Sep 14 with price band of Rs 119-126

Samhi Hotels on Monday fixed the price band for its Rs 1,370-crore primary share sale that opens on Thursday at Rs 119-126 per share, which is 119-126 times its face value.

The public issue comprises Rs 1,200 crore of fresh issue and an offer for sale (OFS) of up to Rs 170 crore at the upper end of the price band, Gurugram-based Samhi Hotels said in a statement.

In a pre-IPO placement, external investor Blue Chandra had sold 10.32 million shares or 8.4 per cent of its stake to renowned investor Madhusudan Kela's wife Madhuri Kela, along with Nuvama Crossover Opportunities Fund and TIMF Holdings, for a total consideration of Rs 130 crore.

Samhi acquires/builds primary hotels and thereafter renovates, rebrands and rerates the property and runs it. In 13 years into business, it has added 369 keys in FY23 to become the third largest hotel owner by number of keys, taking the total number of keys to 4,800 across 31 operating hotels, which include its latest acquisition of ACIC last month.

It has land to build a 350-key hotel in MIDC, Navi Mumbai.

With the latest acquisition, Samhi will get access to new cities like Jaipur and will improve its inventory and market share in Hyderabad, Pune, Chennai, and Ahmedabad.

In addition, it plans to add two additional hotels and 617 keys in existing cities as well as two new cities, Kolkata and Navi Mumbai, increasing its presence to 14 key urban centres.

Some of the marquee names in its portfolio include Hyatt Regency, Pune; Courtyard by Marriott, Bengaluru; Four Points by Sheraton Ahmedabad and Vizag; Fairfield by Marriott in Chennai Sriperembudur, Coimbatore, Goa, Kharadi, Bengaluru; and Holiday Inn Express across Ahmedabad, Bengaluru, Pune, Gurgaon, Hyderabad, Nashik, and Chennai.

The company did not disclose the details about shareholders participating in the OFS.