Ventive Hospitality IPO is a book-built issue worth ₹1,600 crore, consisting entirely of a fresh issue of 2.49 crore shares. The subscription window opens on December 20, 2024, and closes today on December 24, 2024. The allotment of shares is expected to be finalised by December 26, 2024, with a tentative listing date set for December 30, 2024, on both the BSE and NSE.
The IPO price band has been set between ₹610 to ₹643 per share, with a minimum application lot size of 23 shares. Retail investors need a minimum investment of ₹14,789, while sNII investors require 14 lots (322 shares) amounting to ₹2,07,046. For bNII investors, the minimum lot size is 68 lots (1,564 shares), requiring an investment of ₹10,05,652.
Prominent book-running lead managers for the issue include JM Financial, Axis Capital, HSBC Securities, ICICI Securities, IIFL Securities, Kotak Mahindra Capital, and SBI Capital Markets. KFin Technologies Limited serves as the registrar for the IPO, ensuring a smooth allotment and listing process.
Industry Outlook
- India's GDP growth supports increasing hotel demand, with the travel and tourism sector contributing ₹21.2 trillion in CY24. This demand, driven by business and leisure travel, positions Ventive Hospitality to capitalise on the growing need for quality accommodations.
- India has 195,000 chain-affiliated rooms, far lower compared to global counterparts like London and San Francisco. This underpenetration allows Ventive Hospitality to expand its market presence and meet the rising demand for chain-affiliated hotels.
Ventive Hospitality IPO Objectives
The company will use the proceeds of the issue for the following objects:
- The funds will be used to repay or prepay certain borrowings, including interest, for the company and its step-down subsidiaries, SS & L Beach Private Limited and Maldives Property Holdings Private Limited.
- The remaining funds will be utilised for general corporate purposes.
About Ventive Hospitality Limited
Ventive Hospitality Limited is a leading hospitality asset owner, focusing on luxury offerings across both business and leisure segments. Its portfolio includes 11 operational properties in India and the Maldives, comprising 2,036 keys across luxury, upper-upscale, and upscale segments as of September 30, 2024.
The company partners with globally renowned operators such as Marriott, Hilton, Minor, and Atmosphere, ensuring world-class service. Key luxury assets include JW Marriott Pune, The Ritz-Carlton Pune, and Conrad Maldives. The Ritz-Carlton Pune is one of only two such hotels in India, while JW Marriott Pune is among the largest luxury hotels in the country.
The Maldives properties, including Conrad and Anantara, cater to premium travelers, with standout offerings like Conrad Maldives’ Muraka, an undersea residence, and Ithaa, a unique underwater restaurant.
Luxury hospitality assets account for over 80% of the company’s revenue from hotel operations, demonstrating the strength of its high-end portfolio. The company’s properties command an ARR premium, reflecting superior asset quality and customer experience. From January to September 2024, luxury hotels in Pune achieved an ARR index of 1.44, while Conrad Maldives and Anantara Maldives reported an ARR index of 1.04.
Additionally, Ventive’s food and beverage offerings are a key revenue driver, contributing up to 39.62% of hotel operation revenues. With a proven track record of strategic development and acquisitions, the company continues to expand into new geographies.
How To Check the Allotment Status of the Ventive Hospitality IPO?
Steps to check IPO allotment status on Angel One’s app:
- Log in to the Angel One app.
- Go to the IPO Section and then to IPO Orders.
- Select the individual IPO that you had applied for and check the allotment status.
- Angel One will notify you of your IPO allotment status via push notification and email.
How To Apply for a Ventive Hospitality IPO online?
- Login to Your Angel One Account: Open the Angel One app or website and log in with your credentials.
- Locate the IPO Section: Navigate to the 'IPO' section on the platform.
- Select IPO: Find and select the Ventive Hospitality IPO from the list of open IPOs.
- Enter the Lot Size: Specify the number of lots you want to bid for.
- Submit Your UPI ID: Enter your UPI ID to link your payment method and submit your application.
- Approve Funds: Once you receive the bid request on your UPI app, approve it by entering your UPI PIN.
Contact Details of Ventive Hospitality Limited
Registered office: 2nd Floor, Tower D, Tech Park One, Yerwada, Pune,
Maharashtra, 411 006, India
Phone: +91 20 6906 1900
E-mail: CS@ventivehospitality.com
Ventive Hospitality IPO Reservation
|
Investor Category |
Shares Offered |
|
Anchor Investor Shares Offered |
1,11,90,513 (44.97%) |
|
QIB Shares Offered |
74,60,342 (29.98%) |
|
NII (HNI) Shares Offered |
37,30,171 (14.99%) |
|
bNII > ₹10L |
24,86,929 (9.99%) |
|
sNII < ₹10L |
12,43,242 (5%) |
|
Retail Shares Offered |
24,86,781 (9.99%) |
|
Employee Shares Offered |
16,313 (0.07%) |
|
Total Shares Offered |
2,48,84,119 (100%)
|
Category Reservation Detail Table
|
Application Category |
Maximum Bidding Limits |
Bidding at Cut-off Price Allowed |
|
Only RII |
Up to ₹2 lakh |
Yes |
|
Only sNII |
₹2 lakh to ₹10 lakh |
No |
|
Only bNII |
₹10 lakh to NII reservation portion |
No |
|
Only employee |
Up to ₹5 lakh |
Yes |
|
Employee + RII/NII |
Employee limit: Up to ₹5 lakh (In certain cases, employees are given discount if bidding amount is upto ₹2 lakh) If applying as RII: Up to ₹2 lakh If applying as NII: sNII > ₹2 lakh and up to ₹10 lakh and bNII > ₹10 lakh |
Yes for shareholder/RII |
Ventive Hospitality IPO Lot Size Details
|
Application |
Lots |
Shares |
Amount |
|
Retail (Min) |
1 |
23 |
₹14,789 |
|
Retail (Max) |
13 |
299 |
₹1,92,257 |
|
S-HNI (Min) |
14 |
322 |
₹2,07,046 |
|
S-HNI (Max) |
67 |
1,541 |
₹9,90,863 |
|
B-HNI (Min) |
68 |
1,564 |
₹10,05,652 |
Ventive Hospitality IPO Promoter Holding
The company's Promoters are Atul I. Chordia, Atul I. Chordia HUF, Premsagar Infra Realty Private Limited, BRE Asia ICC Holdings Ltd and BREP Asia III India Holding Co VI Pte. Ltd.
|
Share Holding Pre Issue |
99.59% |
|
Share Holding Post Issue |
- |
Key Performance Indicators for Ventive Hospitality IPO
As of March 31, 2024, the KPIs of Ventive Hospitality:
|
KPI |
Value |
|
RoNW (%) |
-1.82% |
|
Price to Book Value |
3.66 |
Price Metrics
|
Metric |
Pre-IPO |
Post-IPO |
|
P/E (x) |
-201.01 |
-54.48 |
|
EPS (₹) |
-3.20 |
-11.80 |
Ventive Hospitality IPO Prospectus
Ventive Hospitality IPO Registrar and Lead Managers
Ventive Hospitality IPO Lead Managers
- Jm Financial Limited
- Axis Capital Limited
- Hsbc Securities & Capital Markets Pvt Limited
- ICICI Securities Limited
- Iifl Securities Limited
- Kotak Mahindra Capital Company Limited
- SBI Capital Markets Limited
Registrar for Ventive Hospitality IPO
Kfin Technologies Limited
- Contact Number: 04067162222, 04079611000
- Email Address: ventive.ipo@sbicaps.com
Website: Ventive Hospitality IPO Registrar
Financial Performance of Ventive Hospitality Limited
| Particulars | Year ending on March 31, 2024 | Year ending on March 31, 2023 |
|---|---|---|
| Revenue from Operation (in ₹ million) | 4,779.80 | 4,308.13 |
| Profit After Tax (PAT) (in ₹ million) | 1,663.17 | 1,312.73 |
| Total Borrowings (in ₹ million) | 4,126.08 | 4,251.67 |
| Net Worth (in ₹ million) | 3,305.54 | 1,638.72 |
| Return on Net Worth (%) | 50.31 | 80.11 |
| EBITDA (in ₹ million) | 3,005.59 | 2,500.92 |
| Earning Per Share (EPS)-in absolute ₹ | 15.92 | 12.36 |
Know before investing
Strengths
8Premium hospitality portfolio with marquee assets like JW Marriott and Ritz-Carlton.
Strong track record of growth through development and strategic acquisitions.
Global expertise of promoters, combining local knowledge with international best practices.
Proven asset management strategies driving high occupancy rates and revenue growth.
Commitment to sustainability with ambitious ESG goals for energy and water management.
Positioned to benefit from India’s growing economy and tourism sector.
Expanding asset base with a focus on organic and inorganic growth.
Strong market presence in prime locations across India and the Maldives.
Risks
8Acquisition of a new portfolio may not accurately reflect future performance.
Reliance on third-party brands for services amounting to 78.05% of keys operated by Marriott and Hilton.
Losses incurred in the past may impact future financial conditions.
Termination of agreements with third-party operators could harm business operations.
52.83% of total income depends on four largest hospitality assets.
Geographical concentration in Pune (58.40%) and Maldives (32.03%) poses risks.
Decline in office/retail demand could impact 28.02% of total income.
Inability to meet evolving customer demands could harm profitability and growth.
Ventive Hospitality Limited Peer Details Comparison
| Company Name | Face Value (in ₹) | EPS (Basic) | EPS (Diluted) | NAV (in ₹ per share) |
|---|---|---|---|---|
| Chalet Hotels Ltd | 10.00 | 13.54 | 13.53 | 90.08 |
| Samhi Hotels Limited | 1.00 | -14.67 | -14.67 | 47.63 |
| Juniper Hotels Limited | 10.00 | 1.46 | 1.46 | 119.34 |
| The Indian Hotels Company Limited | 1.00 | 8.86 | 8.86 | 71.16 |
| EIH Limited | 2.00 | 10.22 | 10.22 | 65.34 |
| Lemon Tree Hotels Ltd | 10.00 | 1.88 | 1.88 | 19.52 |
| Apeejay Surrendra Park Hotels Ltd | 1.00 | 3.82 | 3.82 | 56.13 |
