Pride Hotels secures SEBI nod for ₹1,000-crore IPO to fuel expansion
Pride Hotels has secured approval from the Securities and Exchange Board of India (Sebi) to launch its initial public offering (IPO). The company plans to raise Rs 1,000 crore through the share sale, with funds earmarked for expansion, debt repayment, and upgrades to its existing properties. Currently, the chain operates 34 hotels across India, totaling 2,723 rooms.
The IPO will include fresh shares worth Rs 260 crore alongside an offer-for-sale of up to 3.92 crore shares. Additionally, the company may raise Rs 52 crore through a pre-IPO placement before the main issue. Once completed, Pride Hotels’ shares will list on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).
Motilal Oswal Investment Advisors and JM Financial have been appointed as the book-running lead managers for the offering. The proceeds will primarily fund renovations for six hotels in its owned portfolio over the next 12 to 27 months. Any remaining funds will go towards repaying debt and general corporate needs. The company has grown significantly in recent years, expanding from 19 hotels in 2019 to 34 today. Another 32 properties are currently under development, with plans to open them within the next two to three years.
With Sebi’s approval now in place, Pride Hotels is set to move forward with its IPO. The capital raised will support its ongoing expansion while modernising key locations in its portfolio. The listing on major exchanges will also provide the company with greater access to public markets for future growth.
