Ventive Hospitality IPO: Should You Subscribe? Read DRChoksey's Analysis

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Deven Choksey Research Report.Blackstone-backed Ventive Hospitality Ltd. will launch its initial public offering on December 20 and the offer closes for subscription on Dec. 24. The leading hospitality asset owner has fixed the price band in the range of Rs 610-643 Apiece. The IPO consists purely of a fresh issue worth Rs 1,600 crore.The shares will be listed on both the National Stock Exchange and the BSE on Dec. 30The allotment for Ventive Hospitality IPO is expected to be finalised on Dec. 26.. Objects of the OfferRepayment of borrowings.General Corporate Purpose..Outlook and Valuation: Ventive Hospitality operates in India’s expanding hospitality sector, with the spiritual tourism market projected to grow at a CAGR of 9%, from $60 billion in 2023 to $130 billion by 2032. Ventive Hospitality has demonstrated strong capabilities in acquiring and developing hotel assets across diverse geographies, driving a revenue CAGR of 44% and PAT CAGR of 138% between FY22 and FY24. In FY24, its return on equity of 50% and return on capital employed of 31% outperformed industry peers. Despite these strengths, Ventive Hospitality reported pro forma losses in FY22 and FY24, The IPO is valuing the company at a moderate enterprise value/Ebitda multiple of 21 times post acquisition based on proforma financials. The company's dependence on third-party operators and sensitivity to seasonal business cycles add further complexity. Considering Ventive Hospitality's growth trajectory and financial profile, we recommend a "Neutral" rating for the IPO..Click on the attachment to read the full IPO report:.Ventive Hospitality IPO: Price Band, Financials, Key Dates, GMP — All You Need To Know.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Ventive Hospitality IPO: Should You Subscribe? Read DRChoksey's Analysis

Check price band, allotment date, listing date, financials, peer comparison and more in this research report by DRChoksey

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