The Grand Continent Hotels IPO marks an exciting opportunity for investors looking to tap into India's thriving mid-scale hotel sector. The IPO, with a price band of ₹107-113 per share, consists of a Fresh Issue of 62.60 Lakh shares valued at ₹70.74 Crores and an Offer for Sale of 3.28 Lakh shares, amounting to ₹3.71 Crores. The subscription period began on March 20, 2025, and will close on March 24, 2025. Investors should note that the allotment will be finalized by March 25, 2025, with the shares expected to list on the NSE SME on March 27, 2025.

As of the latest updates, the Grey Market Premium (GMP) for the Grand Continent Hotels IPO is ₹17, signaling a potential listing gain of 19%. The company’s market capitalization at the upper IPO price of ₹113 per share is estimated at ₹281.58 Crores. The lot size for the IPO is 1,200 shares, requiring a minimum investment of ₹1,35,600 for retail investors. For High-Net-Worth Individuals (HNIs), the minimum investment is 2 lots, totaling ₹2,71,200.

Subscription Status as of March 21, 2025, shows that the IPO has been subscribed 0.48 times, indicating moderate demand. As for anchor investors, Grand Continent Hotels has raised ₹21.16 Crores at ₹113 per share, allocating 18,73,200 equity shares to these investors. This reflects strong backing and confidence in the company’s future performance.

The objectives of the IPO include repaying outstanding borrowings of ₹34.08 Crores, expanding its hotel properties by ₹16.79 Crores, and allocating funds for general corporate purposes. This demonstrates a strategic focus on growth and financial stability. With a strong management team led by Mr. Ramesh Siva, who brings over two decades of experience in the hospitality industry, the company has successfully expanded its operations to 16 hotels across key locations in India, such as Bengaluru, Mysuru, Goa, and Tirupati.

The financial performance of Grand Continent Hotels has been steadily improving, with revenues of ₹3,186.32 Lakh in FY24 and a profit after tax (PAT) of ₹622.37 Lakh for the period ended on September 30, 2024. The company’s EBITDA for the same period stands at ₹1,126.94 Lakh, indicating efficient operations. These numbers suggest a solid foundation for future growth, making the IPO an appealing option for risk-tolerant investors seeking listing gains.

In conclusion, Grand Continent Hotels’ IPO presents an opportunity for investors to participate in the growth of an established company in the mid-scale hotel sector. With an attractive price range, promising financials, and a positive GMP, the IPO is expected to generate significant interest. Investors should be aware of the investment requirements and track the subscription and allotment updates closely to make informed decisions.

The Upcoming IPOs in this week and coming weeks are Arisinfra Solutions Limited, Desco Infratech Limited, ATC Energies System Limited, Shri Ahimsa Naturals Limited,Identixweb Limited.

The Current active IPO are Rapid Fleet Management Services, Active Infrastructures Limited,Grand Continental Hotels.

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