Samhi Hotels Shares End At Nearly 14% Premium Over IPO Price

Shares of Samhi Hotels Ltd. debuted at Rs 134.50 apiece on the NSE, a premium of 6.75% to their IPO price of Rs 126 apiece.

On the BSE, the shares listed at Rs 130.55, a premium of 3.61%.

The shares ended at a premium of 13.93% over the IPO price, and advanced 9.96% from its listing price to end at Rs 143.55 apiece on the BSE.

The Rs 1,370 crore-IPO was subscribed 5.33 times on its final day of offer. Bids were led by institutional investors (8.82 times), non-institutional investors (1.22 times) and retail investors (1.11 times).

The company raised Rs 616.5 crore from anchor investors ahead of its initial public offering.

The hotelier and asset management platform allotted nearly 4.89 crore shares at Rs 126 apiece to 35 anchor investors.

The investors included the Government of Singapore, SBI Mutual Fund, Aditya Birla Sun Life Insurance, ICICI Prudential, Tata Mutual Fund, Edelweiss MF, Societe Generale, Think India Opportunities Master Fund, Citigroup Global Markets Mauritius, and HSBC Global Investments Fund, among others.

Samhi Hotels is a hotel ownership and asset management platform with the third largest inventory of operational keys, comprising both owned and leased properties, in India.

Their portfolio of hotels comprises 4,801 keys across 31 operating hotels, which are based in key urban consumption centres like Bengaluru, Hyderabad, the National Capital Region, Pune, and Chennai.

They have adopted an acquisition-led strategy wherein they acquire and turnaround hotels to expand their business. They also upgrade properties and then deploy their in-house capabilities for the operations of the hotel.

Their hotel portfolio is categorised into three distinct classifications: upper upscale and upscale, upper mid-scale, and mid-scale. As of FY23, 51.14% of their total income was derived from upper-mid-scale and mid-scale hotels. Their upper-upscale and upscale hotels contributed 47.35% of the total revenue.