Markets

Park Hotels files for public issue to raise up to ₹1,000 cr

Our Bureau | Updated on January 01, 2020 Published on January 01, 2020

Apeejay Surrendra Park Hotels, owners of ‘The Park’ brand of hotel chains, has filed draft papers for its proposed initial public offering (IPO), to raise up to ₹1,000 crore. The IPO comprises a fresh issue of up to ₹400 crore and an offer-for-sale (OFS) of up to ₹600 crore.

Promoters of the hotel chain include Karan Paul, Priya Paul, Apeejay Surrendra Trust and Flury’s Swiss Confectionary Pvt Ltd, among others.

According to the company’s draft red herring prospectus, the amount to be raised through the OFS include equity shares worth of ₹125.4 crore to be sold by Apeejay Surrendra Trust; up to ₹354.9 crore by Apeejay Pvt Ltd, up to ₹84.7 crore by Apeejay House Pvt Ltd and ₹34.9 crore by investor selling shareholders.

The company plans to utilise the net proceeds towards repayment and repayment of borrowings of around ₹300 crore; and for general corporate purposes.

The lead managers to the offer are ICICI Securities, Axis Capital and JM Financial and shares are proposed to be listed on the BSE and NSE.

The company has presence in Bengaluru, Chennai, Hyderabad, Kolkata, Mumbai, Delhi-NCR, Coimbatore, Jaipur, Jodhpur, Jammu, Navi Mumbai, Raipur and Visakhapatnam.

Apeejay Surrendra Group which owns the company has business activities spread across industries such as hospitality, shipping, tea, real estate, retail brands such as Oxford book stores and education.

Published on January 01, 2020
  1. Comments will be moderated by The Hindu Business Line editorial team.
  2. Comments that are abusive, personal, incendiary or irrelevant cannot be published.
  3. Please write complete sentences. Do not type comments in all capital letters, or in all lower case letters, or using abbreviated text. (example: u cannot substitute for you, d is not 'the', n is not 'and').
  4. We may remove hyperlinks within comments.
  5. Please use a genuine email ID and provide your name, to avoid rejection.