Prestige Hospitality Ventures Limited files DRHP for IPO Worth ₹2700 crores

Prestige Hospitality Ventures Limited has filed the draft red herring prospectus (DRHP) for IPO. It plans to go public with an aim to raise ₹2700 crore from the Initial Public Offering (IPO). 

Prestige Hospitality IPO Details

According to the DRHP, 

• The IPO will be a combination of fresh issue of face value of ₹ 5 each, aggregating up  to ₹17,00 crore and offer for sale (OFS) of equity shares of face value of ₹5 each, aggregating up to ₹ 1000 crore.
• The equity shares are proposed to be listed on the National Stock Exchange (NSE) and BSE, as per DRHP. 
• The company will determine the price band and minimum bid lot for the IPO in consultation with the book-running lead manager.
• JM Financial Ltd, CLSA India Private Ltd, J P Morgan India Private Ltd, and Kotak Mahindra Capital Company Ltd are the sole book-running lead managers of the public issue, while KFin Technologies Limited is the registrar.

Utilisation of Proceeds

The Company proposes to utilise the Net Proceeds from the issue for the following purposes:

1. Repayment/ prepayment, in full or in part, of certain outstanding borrowings and accrued interest thereon availed by our: 

• Company, and 
• Material  Subsidiaries,  namely,  Sai  Chakra  Hotels  Private  Limited and  Northland  Holding  Company  Private Limited, through investment in such subsidiaries.

2. Pursuing inorganic growth through unidentified acquisitions and other strategic initiatives, as well as general corporate purposes.

About Prestige Hospitality Ventures Limited

Prestige Hospitality Ventures Limited (PHVL) is the dedicated hospitality arm of Bengaluru-based real estate conglomerate, Prestige Estates Projects Ltd. Established on December 29, 2017, PHVL oversees the group's expansive hospitality portfolio, which includes luxury hotels and resorts across India. The company operates 10 hotels, totalling 1,489 keys, with an additional 3 hotels (955 keys) under development and 5 more (765 keys) in the pipeline. 

PHVL has forged partnerships with renowned international hospitality brands such as JW Marriott, Sheraton Grand, and Conrad by Hilton, enhancing its market presence and service quality. 

The company, headquartered in Bengaluru, Karnataka, is a public limited company with an authorised share capital of ₹10 crore and a paid-up capital of ₹6 crore. 

Company Financials

In the fiscal year 2023-24, PHVL experienced a 3.42% decline in total revenue compared to the previous year. Despite this, the company achieved a significant 24.49% increase in profit, indicating improved operational efficiency. However, net worth decreased by 7.49% during the same period.

In March 2025, PHVL announced it would receive equity funding of ₹1,625.04 crore from its parent company, Prestige Estates Projects Limited. This funding is expected to support PHVL's expansion plans and strengthen its financial position ahead of the IPO.

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