Juniper Hotels IPO opens on February 21. 10 things to know about Rs 1,800 cr offer

Juniper Hotels IPO opens on February 21. 10 things to know about Rs 1,800 cr offer

The initial public offering (IPO) of Juniper Hotels will open for subscription on February 21. The issue closes on February 23. Through the public offer, the company plans to raise around Rs 1800 crore. Here are 10 things to know about Juniper Hotels IPO before subscribing to the issue

1) What is the business overview of Juniper Hotels?

Juniper Hotels is co-owned by Saraf Hotels and Two Seas Holdings, an affiliate of the prominent global hospitality entity, Hyatt Hotels Corp. It functions as a luxury hotel development and ownership enterprise, and owns 20% of the total 1836 Hyatt affiliated keys in India as of June 2023. The company manages a diverse portfolio consisting of seven hotels and serviced apartments.

2) What is the industry overview of Juniper Hotels?

The GDP contribution of the hotel sector is estimated at $40 billion in 2022, with the projected increase to $1 trillion by 2047. The demand for hotel rooms and services will benefit from and support economic development initiatives and investments across India.

3) What is the size of Juniper Hotels IPO?

The IPO is entirely fresh equity of Rs 1,800 crore with no offer for sale (OFS) component.

4) What is the price band for Juniper Hotels IPO?

Juniper Hotels has fixed a price band of Rs 342-360 per share for its maiden public offer. Investors can bid for 40 shares in one lot and multiples thereafter.

5) What is the structure of the Juniper Hotels IPO?

About 75% of the IPO is reserved for qualified institutional buyers, 15% for non-institutional investors, and the rest 10% for retail investors.

6) How is the financial performance of Juniper Hotels?

For the fiscal year 2023, revenue from operations increased by 116% to Rs 667 crore against Rs 309 crore a year ago. Net loss narrowed to Rs 1.5 crore in fiscal 2023 over Rs 188.03 crore in fiscal 2022.

7) What are the objectives of Juniper Hotels IPO?

The company proposes to use the net proceeds of Rs 1,500 crore towards repayment, prepayment, or redemption, in full or in part, of certain outstanding borrowings (including payment of the interest accrued thereon) availed by the company and its subsidiaries and for general corporate purposes.

8) What is the current GMP of Juniper Hotels?

According to market analysts, the current GMP of Juniper Hotels is Rs 0 in the unlisted market.

9) Who are the book-running lead managers for Juniper Hotels IPO?

JM Financial, CLSA India, and ICICI Securities are the book-running lead managers, and KFin Technologies is the registrar of the offer.

10) When is the share allotment and listing date of Juniper Hotels IPO?

The share allotment for the IPO will be finalised on February 26 and the estimated listing date is February 28.

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