The initial share sale of Goldman Sachs-backed Samhi Hotels will open for public subscription on September 14. The three-day initial public offering (IPO) will conclude on September 18 and the bidding for the anchor investors will open on September 13, according to the red herring prospectus (RHP).
The price band is yet to be announced by the Gurugram-based company. However, the firm has revised the size of its fresh issue to Rs 1,200 crore from the earlier target of Rs 1,000 crore.
The OFS now comprises up to 84.28 lakh equity shares by Blue Chandra Pte Ltd, up to 49.31 lakh shares by Goldman Sachs Investments Holdings (Asia) Ltd and up to 1.40 lakh equity shares by GTI Capital Alpha Pvt Ltd. On Tuesday, the company got markets regulator Sebi’s go-ahead to raise funds through IPO.
The firm will utilise the net proceeds of the fresh issue to the tune of Rs 900 crore mainly for repayment/ prepayment, in full or in part, of certain borrowings availed by the company and its subsidiaries, including payment of the interest accrued thereon and the remaining for general corporate purposes. The company had re-filed its preliminary papers with the regulator in March this year.
Earlier, the company had filed its IPO papers with Sebi in September 2019 and had obtained the regulator’s approval in November 2019 but it did not go ahead with the launch.
Samhi has a portfolio of 3,839-key rooms spread across 25 operating hotels in 12 of India’s major urban consumer hubs, including Bengaluru, Hyderabad, National Capital Region (NCR), Pune, Chennai, and Ahmedabad, as of February 28, 2023.
It is the largest owner of Fairfield by Marriott and Holiday Inn Express brands in India. It operates under long-term management contracts with global hotel operators like Marriott, Hyatt, and IHG. JM Financial and Kotak Mahindra Capital Company are the book-running lead managers to the issue.