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According to various market observers, the current GMP of Leela Hotels IPO is trading at Rs 437 at a premium of 0.46 per cent (Rs 2) on upper cap of the price band of Rs 435.
Founded in 1986, Schloss Bangalore is the parent company of the luxury hotel chain “The Leela” in India.
Leela Hotels IPO Day 3: Leela Hotels parent Schloss Bangalore, known for its luxury hotels and resorts, was closed at 5:00 pm today, May 28. The IPO consists of a fresh issue and an offer-for-sale (OFS).
Leela Hotels IPO Subscription Status
As of 5:00 pm on Day 3, the Leela Hotels IPO received a 4.72 times subscription, with a bidding of 20,86,94,822 shares against the offered shares of 4,42,52,875. The retail and NII participation stood at 0.87 times and 1.08 times, respectively. Its qualified institutional buyer (QIB) category got a 7.82 times subscription.
10 Things You Should Know About Leela Hotels IPO
1. Leela Hotels IPO Issue Size
The IPO aims to raise Rs 3,500 crore, with Rs 2,500 crore from a fresh issue and Rs 1,000 crore from an OFS. The raising amount is down from earlier planned of Rs 5000 crore.
2. Leela Hotels IPO Price Band
The price band for the issue is set at Rs 413 to Rs 435 per share, with a minimum bid quantity of 34 shares, which translates to a minimum investment of Rs 14,790 at the upper end of the price band for retail investors. The IPO will be open for bidding from May 26 to May 28, with the share allotment expected to be finalized on May 30.
3. Leela Hotels IPO GMP
According to various market observers, the current GMP of Leela Hotels IPO is trading at Rs 437 at a premium of 0.46 per cent (Rs 2) on the upper cap of the price band of Rs 435.
4. Leela Hotels IPO Allotment And Listing Dates
Successful bidders should see shares credited to their demat accounts by May 30, with refunds issued on the same day. The shares are scheduled to list on the BSE and NSE on June 02, 2025.
The three-day IPO bidding was started on Monday, May 26.
5. Leela Hotels IPO Objectives
Leela Hotels plans to utilize Rs 2,500 crore from the fresh issue for the following purposes:
– Repayment of outstanding borrowings: Approximately Rs 2,300 crore will be used to repay/pre-pay certain borrowings of the company and its subsidiaries.
– General corporate purposes: A portion of the IPO proceeds will be allocated for general corporate purposes, not exceeding 25% of the gross proceeds.
6. Leela Hotels Financials
Schloss Bangalore Limited’s financial performance shows a 15% increase in revenue and a significant 2341% rise in profit after tax (PAT) between the financial years ending March 31, 2024, and March 31, 2025.
As of March 31, 2025, the company’s assets stood at Rs 8,266.16 crore, with revenue at Rs 1,406.56 crore and PAT at Rs 47.66 crore. The company’s net worth improved to Rs 3,604.99 crore, and its total borrowings were Rs 3,908.75 crore. Leela Hotels operates 3,553 keys across 13 hotels under The Leela Palaces, Hotels, and Resorts, with a strategic presence in 10 key destinations in India, covering a significant portion of international and domestic air traffic in FY 25.
7. Leela Hotels Boon Running Managers
JM Financial Limited, Bofa Securities India Limited, Morgan Stanley India Company Pvt Ltd, J.P. Morgan India Private Limited, Kotak Mahindra Capital Company Limited, Axis Capital Limited, Citigroup Global Markets India Private Limited, Iifl Securities Ltd, Motilal Oswal Investment Advisors Limited, SBI Capital Markets Limited are the book running lead managers of the Leela Hotels IPO, while Kfin Technologies Limited is the registrar for the issue.
8. Leela Hotels Promoters
Project Ballet Bangalore Holdings (DIFC) Pvt Ltd, BSREP III Joy (Two) Holdings (DIFC) Limited, BSREP III Tadoba Holdings (DIFC) Pvt Ltd, Project Ballet Chennai Holdings (DIFC) Pvt Ltd, Project Ballet Gandhinagar Holdings (DIFC) Pvt Ltd, Project Ballet HMA Holdings (DIFC) Pvt Ltd and Project Ballet Udaipur Holdings (DIFC) Pvt Ltd are the company promoters.
9. Leela Hotels
Founded in 1986, Schloss Bangalore is the parent company of the luxury hotel chain “The Leela” in India, one of the largest luxury hospitality chains in the country in terms of the number of keys.
10. Should You apply for Leela Hotels IPO?
Bajaj Broking recommends subscribe for long-term view.
Leela Hotels’ IPO, priced at Rs 435 per share, has drawn mixed responses due to its steep valuations. Canara Bank Securities flagged the high P/E of 220.8x (vs peer average of 98.9x) but noted improved operating leverage and a reasonable P/B of 2.92x, issuing a “Subscribe with Caution” for high-risk, long-term investors. BP Equities also cited valuation concerns but highlighted the company’s growth prospects, sector outlook, and debt reduction plans, recommending a “Subscribe” for medium to long-term investors. Anand Rathi called the IPO fairly priced relative to future potential despite a 266.8x P/E and 30x EV/EBITDA, suggesting a “Subscribe – Long Term.” Bajaj Broking was more skeptical, citing negative EPS (-Rs 0.12) and NAV (-Rs 160.57), warning that Leela trades at a steep premium to stronger peers like Indian Hotels and EIH.
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