IPO Update: Chalet Hotels IPO opens for subscription
The IPO market in the second half of 2018 almost dried up as the market sentiments and situation were not lucrative for companies. But in the start of 2019, Chalet Hotels seems to be betting big on the current market conditions with the launch of its primary issue on Tuesday, January 29. The IPO size of Chalet Hotel is around Rs. 1,641 crore, of which Rs. 950 crore would be a fresh issue which would be utilised for debt repayment (~Rs. 720 crore) and general purpose (Rs. 230 crore). Rs. 691 crore would be offer for sale from promoters.
Chalet Hotels Ltd is a part of K. Raheja Corp group in India which is owner, developer and asset manager of high-end hotels in key metro cities of India. As of September 2018, the company has five properties with 2,328 hotel rooms across major cities like Mumbai, Hyderabad and Bengaluru. The company’s hotels are branded with global brands like JW Marriott, Westin, Marriott, Marriott Executive Apartments, Renaissance and Four Points by Sheraton.
How Chalet Hotels is placed in term of valuations
The company’s financial performance over the past few years has been quite volatile.
