Brigade Hotel Ventures Ltd, the hospitality arm of Brigade Enterprises, debuted on the stock exchanges with a whimper on Wednesday, July 31. The stock was listed at ₹82 on BSE, down 8.8% from its IPO price of ₹90, and at ₹81.10 on NSE, reflecting a 9.89% discount.
Despite steady investor participation during the IPO subscription window (July 24–28), the listing disappointed as the stock had no premium in the grey market (GMP flat at zero) ahead of debut — a sign of cautious sentiment. The final listing price came in even lower than expected.
IPO Details
- IPO Size: ₹759.6 crore (entirely fresh issue)
- Price Band: ₹85–₹90 per share
- Anchor Book Raised: ₹324.7 crore on July 23
Fund Utilization
Of the total ₹759.6 crore raised:
- ₹468.14 crore will be used for debt repayment
- ₹107.52 crore is earmarked for land acquisition from parent Brigade Enterprises
- The balance will support strategic acquisitions and corporate purposes
Business Snapshot
Brigade Hotel Ventures is South India’s second-largest chain-affiliated hotel owner by room count, with 1,604 keys as of July 18, 2025. It operates nine hotels spread across Bengaluru, Chennai, Kochi, Mysuru, and GIFT City, in partnership with leading global hospitality brands like Marriott, Accor, and IHG.
Financial Performance
For FY25, the company reported a 16% revenue increase to ₹470.7 crore, but a 24% YoY decline in net profit, pointing to margin pressures despite growth in the top line.
Despite the weak listing, analysts note the backing of Brigade Enterprises and partnerships with marquee hotel operators could provide long-term value, though near-term sentiment may remain muted amid profitability concerns.
