SAMHI Hotels Limited IPO

SAMHI Hotels plans to go public to raise funds worth Rs 1370.1 crore. The subscription for the IPO will be open from September 14 to September 18, 2023. The price band range is Rs 119 – Rs 126 per share and the face value is Re 1 apiece.

The IPO consists of fresh issue of shares worth Rs 1,200 crore and offer for sale worth Rs 170.1 crore. The size of one lot is set at 119 shares.

Company Summary

SAMHI Hotels Limited is a prominent branded hotel ownership and asset management platform in India, with the third largest inventory of operational keys (owned and leased) in India as of March 31, 2023. The company has been in the business for the past 12 years and it has built a portfolio of 3,839 keys across 25 operating hotels in 12 cities, including Bengaluru (Karnataka), Hyderabad (Telangana), National Capital Region, Pune (Maharashtra), Chennai (Tamil Nadu) and Ahmedabad (Gujarat).

The company’s portfolio is diversified across key consumption centers in India, at different price-points and with established brands catering to a broad set of demand. The company currently categorizes the hotel portfolio into distinct hotel segments based on brand classification – Upper Upscale, Upscale, Upper Mid-scale and Mid-scale. Over 51.14% of our total income for the financial year 2023 was from Upper Mid-scale and Mid-scale hotels.

The company operates under long-term management contracts with established and well-recognized global hotel operators such as Marriott, Hyatt and InterContinental Hotels Group. These engagements benefit the company by giving them access to strong operating processes, sales and distribution experience, larger clientele and loyalty programs of such hotel operators.

The company has developed proprietary tools to manage and improve the performance of their hotels. With these tools, the company can leverage an extensive number of operating parameters and data that they we have across their hotels and use data analytics to improve their operations and acquisition strategy.

In March 2023, the company entered into a binding share subscription and purchase agreement with Asiya Capital and the ACIC SPVs (the “ACIC SSPA”) to acquire 962 keys across six operating hotels and a parcel of land for the development of a hotel in Navi Mumbai, Maharashtra.

Company Strengths

  • The company has a strong ability to acquire dislocated hotels and turnaround it which offer significant opportunities for value accretion over the years
  • Established track record to re-rate hotel performance through renovation and/or rebranding.
  • Strategically located in high-density micro-markets that have high barriers-to-entry due to land acquisition complexities, long development time frames, and fragmented ownership structures.
  • Diversified portfolio at different localities and price points.
  • Ability to create operating efficiencies and long-term performance using analytics tools.
  • Strong corporate governance and experienced management team.

Company Financials





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Purpose of the IPO

  • The net proceeds from fresh issue of shares totalling up to Rs 900 crore will be utilised for repayment/ prepayment/ redemption, in full or in part, of certain borrowings availed of by the company and its subsidiaries; and general corporate purposes.
  • The proceeds of the Offer for Sale will be received by the selling shareholders after deducting their offer related expenses and relevant taxes. The company will not receive any proceeds from the Offer for Sale.

Company Promoters

The company does not have an identifiable promoter, according to its red herring prospectus.

IPO Details

IPO Subscription  Date

September 14 to September 18, 2023

Face Value

Re 1 per share

Price Band

Rs 119 to Rs 126 per share

Lot Size


Total Issue Size

Rs 1,370.1 crore

Fresh Issue

1,200 crore

Offer for Sale

1,35,00,000 shares aggregating up to Rs 170.1 crore

Issue Type

Book Built Issue IPO

Listing At


IPO Lot Size





Retail (Minimum)



Rs 14,994

Retail (Maximum)



Rs 1,94,922

Small HNI (Minimum)



Rs 2,09,916

Small HNI (Maximum)



Rs 9,89,604

Large HNI (Minimum)



Rs 10,04,598

Allotment Details



Allotment of Shares

September 22, 2023

Initiation of Refunds

September 25, 2023

Credit of Shares to Demat Account

September 26, 2023

Listing Date

September 27, 2023

To check the allotment, click here