Juniper Hotels IPO

Juniper Hotels IPO is a book-built issue of Rs 1,800.00 crores. The issue is entirely a fresh issue of 5 crore shares. The IPO opens for subscription on February 21, 2024, and closes on February 23, 2024.

The price band for Juniper Hotels IPO is set at ₹342 to ₹360 per share and the minimum lot size for an application is 40 Shares

Company Summary

 They are a luxury hotel development and ownership company and are the largest owner, by number of Keys of “Hyatt” affiliated hotels in India. They have a portfolio of seven hotels and serviced apartments and operating a total of 1,836 keys as of September 30.

They are the only hotel development company in India with which Hyatt has a strategic investment. They own 19.6% of Hyatt group-affiliated hotel rooms and apartments in India as of September 30, 2023.

Juniper Hotels is co-owned by Saraf Hotels Ltd and Two Seas Holdings Ltd, an affiliate of Hyatt Hotels Corporation, forming a strategic partnership between a hotel developer and an international hospitality company.

Their hotels and serviced apartments are established landmarks in Mumbai, Delhi, Ahmedabad, Lucknow, Raipur, and Hampi. As of Sep 30, 2023, the company has 116 serviced apartments in Grand Hyatt Mumbai and 129 serviced apartments in Hyatt Delhi.

As of September 30, 2023, the company had a total of 1,631 permanent employees. The CHPL Group had a total of 362 permanent employees. Together, they had a total of 1,993 employees.

Company Strengths

They have developed our hotels at locations with high barriers to entry. For example, according to the Horwath Report, the land parcels for hotels of the scale of Grand Hyatt Mumbai Hotel and Residences and Andaz Delhi, are difficult to obtain and carry high costs and associated development risks. In turn, this limitation provides an added value benefit to established well-located hotels.

Their significant presence in New Delhi and Mumbai provides them a strategic advantage from both international and domestic travel through these cities and well-established business ecosystems. Ahmedabad is a hub for economic growth in Gujarat and Lucknow stands to benefit from the push for active investments in Uttar Pradesh.

In Raipur, the Hyatt Raipur was established to benefit from the industrial growth in the capital city of Chhattisgarh, the resource-rich state. The Hyatt Place Hampi was established to cater to tourists visiting the Hampi UNESCO World Heritage Site, as well as business travellers visiting the nearby steel manufacturing facilities.

They identify and acquire sites to develop their hotels and serviced apartments, accounting for factors such as location, economic potential of the location, target customers, and branding.

Company Financials

Period Ended30 Sep 202331 Mar 202331 Mar 202231 Mar 2021
Profit After Tax-26.50-1.50-188.03-199.49
Net Worth859.67354.51356.37543.90
Reserves and Surplus687.17210.81212.67400.20
Total Borrowing2,252.752,045.612,121.811,830.48

Amount in ₹ Crore

Objectives of the IPO

The net proceeds of the Issue are proposed to be utilized in the following manner

  • Repayment/ prepayment/ redemption, in full or in part, of certain outstanding borrowings availed by the Company and their recent acquisitions, namely CHPL and CHHPL
  • General corporate purposes

Promoters of the company

 Arun Kumar Saraf, Saraf Hotels Limited, Two Seas Holdings Limited, and Juniper Investments Limited are the Promoters of our Company.

IPO details

IPO DateFebruary 21, 2024 to February 23, 2024
Listing DateWednesday, February 28, 2024
Face Value₹10 per share
Price Band₹342 to ₹360 per share
Lot Size40 Shares
Total Issue Size50,000,000 shares (aggregating up to ₹1,800.00 Cr)
Fresh Issue50,000,000 shares (aggregating up to ₹1,800.00 Cr)
Issue TypeBook Built Issue IPO
Listing AtBSE, NSE

Lot Allocation details

Retail (Min)140₹14,400
Retail (Max)13520₹187,200
Large-HNI (Min)702,800₹1,008,000

Allotment Schedule

Basis of AllotmentMonday, February 26, 2024
Initiation of RefundsTuesday, February 27, 2024
The credit of Shares to DematTuesday, February 27, 2024
Listing DateWednesday, February 28, 2024
Cut-off time for UPI mandate confirmation5 PM on February 23, 2024

IPO Reservation

Investor CategoryShares Offered
QIB Shares OfferedNot less than 75% of the Net Issue
Retail Shares OfferedNot more than 10% of the Net Issue
NII (HNI) Shares OfferedNot more than 15% of the Net Issue

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