Schloss Bangalore, the operator of the Indian luxury hotel 'The Leela', has finalised allocation of 36,206,896 equity shares to anchor investors at the anchor investor allocation price of Rs 435 per share. This includes the share premium of Rs 425 per share.
The anchor book has received widespread participation from domestic institutional investors, including leading mutual funds such as HDFC MF, ICICI Prudential MF, Nippon India MF, Mirae MF and Invesco MF and insurance companies such as Max Life and Birla Life.
Global interest was equally notable with very strong demand from sovereign and long-only FIIs such as Think Invest, Fidelity, Norges Bank, Whiteoak, Lunate, UC Regents, TT International and Ward Ferry.
The company had earlier announced a price band of Rs 413 to Rs 435 per share for its upcoming Rs 3,500-crore initial public offering. Investors can place bids starting from a minimum of 34 shares and in multiples thereafter.
The IPO will consist of fresh equity shares worth Rs 2,500 crore and an offer for sale component totaling Rs 1,000 crore.
Project Ballet Bangalore Holdings (DIFC) Pvt. will act as the promoter, participating in the OFS sale. The IPO is scheduled to open on May 26 and will close on May 28, with anchor investors having the opportunity to bid on May 23.
Schloss Bangalore plans to allocate Rs 2,300 crore from the net proceeds of the fresh issue towards debt repayment, with the remaining funds earmarked for general corporate purposes.
Schloss Bangalore's portfolio includes 3,382 keys across 12 operational hotels. This comprises five owned hotels, six managed hotels under hotel management agreements, and one hotel operated by a third-party owner under a franchise arrangement with the company.
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