Stocks
Invest in Stocks
Invest in stocks, ETFs, IPOs with fast orders. Track returns on your stock holdings and view real-time P&L on your positions.
F&O
Suba Hotels IPO
Suba Hotels Ltd
₹1,26,000 /1200 sharesMinimum Investment
Suba Hotels IPO Details
| Bidding Dates | Min. Investment | Lot Size | Price Range |
|---|---|---|---|
| 29 Sep ‘25 - 1 Oct ‘25 | ₹2,52,000 | 1,200 | ₹105 - ₹111 |
| Issue Size | IPO Doc |
|---|---|
| 75.47Cr | RHP PDF |
Subscription rate
As of 30 Sep'25, 03:01 PM
| Qualified Institutional Buyers | -2.35x |
| Non-Institutional Investor | 0.94x |
| Retail Individual Investor | 0.30x |
| Total | 0.70x |
About Suba Hotels
Founded in
1997
Managing director
Mr. Mansur Mehta
Parent organisation
Suba Hotels Ltd
Strengths & Financials of Suba Hotels
Strengths
Risks
The company claims to be operating 88 hotels with 4,096 keys across more than 50 cities, of which nearly 81 percent are located in tier 2 and tier 3 markets as of July 2025. It also claims to have 40 hotels in the pre-opening stage, adding 1,831 rooms, thereby expanding into underpenetrated regions.
The company claims to have a diversified hotel portfolio spread across four business models: owned, managed, revenue share & lease, and franchised properties.
The company claims to maintain an established sales and marketing network with dedicated teams operating across North, South, and West India. It further claims to have partnerships with leading travel agencies, corporate contracts with large financial institutions, and collaborations with online travel agents for digital bookings.
The company claims to have the capability to acquire underperforming hotels and improve their performance through renovation and rebranding. It also claims to modernise properties by redesigning guest rooms, upgrading infrastructure, and adopting eco-friendly technologies such as energy-efficient HVAC systems, LED lighting, and water-saving fixtures.
The company claims that its hotels are strategically located near business districts, SEZs, industrial hubs, airports, ports, and other transport nodes. This geographic spread is stated to help diversify demand and balance seasonal revenue variations.
The company has witnessed a consistent increase in revenue from operations and profit after tax (PAT). Revenue from operations increased from Rs 35.03 crore in FY23 to Rs 52.28 crore in FY24 and Rs 79.24 crore in FY25. PAT increased from Rs 2.78 crore in FY23 to Rs 8.96 crore in FY24 and Rs 15.15 crore in FY25.
The company derives a major portion of its revenue from the revenue share and lease model. It accounted for Rs 36.16 crore (45.63 percent) of the company’s total revenue in FY25, Rs 22.45 crore (42.95 percent) in FY24, and Rs 11.80 crore (33.69 percent) in FY23. Any adverse developments affecting these hotels or the regions in which they operate could have an adverse effect on our business, results of operation, cash flows, and financial condition.
The company derives a major portion of its room revenue from corporate and leisure accounts from its owned hotels. It accounted for Rs 11.66 crore (64.59 percent) of the company’s total room revenue in FY25, Rs 6.34 crore (45.20 percent) in FY24, and Rs 5.52 crore (43.51 percent) in FY23. Changes in travellers’ preferences due to increased use of telepresence equipment, cost of travel, and spending habits may adversely affect the demand for hotel rooms, thereby impacting our business, results of operations, financial condition, and cash flows.
The company derives a significant portion of its revenue from Gujarat. It accounted for Rs 21.93 crore (27.42 percent) of the company’s total revenue, Rs 19.31 crore (36.44 percent) in FY24, and Rs 16.36 crore (46.48 percent) in FY23. Any disruption or slowdown in this market could hurt the company’s business, financial condition, and cash flows. Also, any adverse fluctuation in foreign exchange rates or changes in foreign exchange control regulations may impact the company’s financial performance.
As of FY25, the company had trade receivables of Rs 9.56 crore, a sharp increase from Rs 4.89 crore in FY24. Any failure to collect these receivables on time or at all can negatively impact the business and its financial condition.
The company reported negative cash flows from investing activities, which amounted to Rs 4.94 crore in FY25, Rs 8.48 crore in FY24, and Rs 11.97 crore in FY23, on account of purchases of fixed assets, intangible assets, and payments made for capital work-in-progress. It also reported a negative cash flow from financing activities of Rs 0.86 crore in FY24 due to proceeds and repayment of long-term and short-term borrowings and finance costs. If these negative cash flows persist, it could adversely affect the company’s ability to meet its working capital needs or repay loans without raising additional external financing, thereby impacting its financial condition and operations.
The company, its directors, promoters, subsidiaries, and group entities are involved in various legal proceedings, including tax and criminal cases. Any adverse judgment in any of these cases could be detrimental to the company’s business prospects.
As of August 31, 2025, the company reported total indebtedness of Rs 50.77 crore. Any failure to service or repay these loans can harm the company’s operations and financial position.
Suba Hotels Financials
*All values are in Rs. Cr
No Graph Data To Display
Application Details of Suba Hotels IPO
| Apply as | Price band | Apply Range |
|---|---|---|
| Individual investor | ₹105 - 111 | ₹2 - 5 Lakh |
For Suba Hotels IPO, eligible investors can apply as Individual investor.