Leela Hotels IPO: Your Chance to Own a Piece of Luxury? GMP, Price, Analysis and more....

The Company has set a price band of ₹413 - ₹435 per share, with investors able to place bids in lots of 34 shares each. Minimum Investment; ₹14,042.

IPO Snapshot

Total Issue Size: ₹3,500 Cr Fresh Issue: ₹2,500 Cr Offer for Sale: ₹1,000 Cr Face Value: ₹10 Price band: ₹413 to ₹435 Lot size: 34 Minimum investment: ₹ 14,042 Listing: BSE, NSE

Key IPO Dates Anchor investors: 23 May, 2025 Opens: 26 May, 2025 Closes: 28 May, 2025 Tentative allotment date shall be 2 to 4 days after IPO bid closes and listing date shall be 2 to 4 days after allotment. Dates shall be published by the registrar and exchanges respectively.

Schloss Bangalore Limited, operating under the renowned "Leela" brand, is a luxury hospitality company with 13 hotels across India. These include 5 owned properties (e.g., Leela Palace Bengaluru, Udaipur, New Delhi) and 7 managed hotels under hotel management agreements. The portfolio spans high-end business and leisure destinations with premium offerings in service, dining, and event spaces.

Ownership: Backed by Brookfield through Dubai International Finance Centre (DIFC) based entities (Project Ballet holdings).

Financial Performance

Financial Year	Revenue ₹ Cr	PAT ₹ Cr
FY23	860.05	(61.65)
FY24	1,171.45	(2.13)
FY25	1,300.57	47.65

The company has consistently improved PAT over the past 3 years consistent with hospitality industry.

GMP (Grey Market Price)

As of the latest data, Schloss Bangalore is commanding a GMP of ₹14, indicating a potential listing gain of over 3.2%. While GMP is an unofficial indicator, it reflects bullish investor sentiment toward this IPO.

Peer Comparison

Use of Proceeds

Debt Repayment (approximately 92% i.e ₹2,300 Cr estimated)

A significant portion of the fresh issue will support long-term debt reduction and CAPEX aimed at property upgrades and digital guest experience improvements. The Company has financial indebtedness of ₹ 3908.74 Cr and had a further 32.57% of total income as finance cost in FY25.

Brand and Asset Enhancement and general Corporate Purposes

Strengths	Weaknesses
Premium brand equity in India	High capex intensity
Strategic Brookfield backing	Luxury segment’s sensitivity to macro shocks
Diverse geographic hotel footprint
Opportunities	Threats
Growth in Indian leisure travel	Global travel volatility
Asset-light expansion via management contracts	Competitive pressure from international chains

Disclaimer: This content is for educational purposes only; please conduct your own research and consult with a qualified investment advisor before making any investment decisions.

Research: Joshwa Joji

Linkedin : http://linkedin.com/in/jjoji