Ventive Hospitality, a hospitality asset owner backed by Blackstone, is set to launch its Initial Public Offering (IPO) on December 20, 2024, which will close on December 24, 2024. The IPO will offer fresh equity shares of face value Re 1 each, with a total offering size of Rs 1,600 crore. The issue will be divided as follows: 75% of the net issue will be available for Qualified Institutional Buyers (QIBs) on a proportionate basis, 15% will be allocated to non-institutional bidders, and 10% will be reserved for retail individual bidders.
The company may also allocate up to 60% of the QIB portion to anchor investors at their discretion, in line with SEBI regulations. The proceeds from the IPO will primarily be used for debt repayment, including the full or partial prepayment of borrowings. The company also plans to invest in its step-down subsidiaries, SS & L Beach and Maldives Property Holdings, for interest payments and subsidiary investments. Founded as the hospitality division of Panchshil Realty, Ventive Hospitality was rebranded after Blackstone acquired a 50% stake in 2017. As of September 30, 2024, the company’s portfolio includes 11 operational hospitality assets across India and the Maldives, totaling 2,036 keys across luxury, upper upscale, and upscale segments. JM Financial, Axis Capital, HSBC Securities, ICICI Securities, IIFL Securities, Kotak Mahindra Capital Company, and SBI Capital Markets are the book-running lead managers for the IPO. The offering presents a significant opportunity for investors to participate in the growing hospitality sector, backed by a strong portfolio and Blackstone’s expertise.
