Ventive Hospitality, a company specializing in luxury assets within both business and leisure segments, has submitted its draft red herring prospectus to the market regulator SEBI, seeking to raise funds through an IPO.
The company's IPO includes a fresh equity issuance of up to ₹2,000 crore, with a face value of ₹1.
Ventive Hospitality is a hospitality asset owner specializing in luxury properties across both business and leisure segments. Its assets are either managed by or franchised through global brands such as Marriott, Hilton, Minor, and Atmosphere.
The luxury portfolio includes properties like JW Marriott Pune, The Ritz-Carlton Pune, Conrad Maldives, Anantara Maldives, and Raaya by Atmosphere in the Maldives. As of March 2024, the portfolio consists of 11 operational hospitality assets in India and the Maldives, with a total of 2,036 rooms across luxury, upper-upscale, and upscale segments.
The company has a well-established history of developing and acquiring prominent hotel assets across multiple regions and diverse hospitality segments. By focusing on expansion through development and acquisitions, they have successfully grown their portfolio and entered new markets like Bengaluru, Varanasi, and the Maldives in recent years.
Alongside their luxury hospitality properties, they have also developed and acquired assets in the upper upscale and upscale segments, offering complementary services in the business centers of Pune and Bengaluru, India. As of March 2024, their operating portfolio includes seven hospitality properties with 1,331 rooms that they developed, and four properties with 705 rooms that they acquired.
The luxury hospitality assets accounted for more than 80% of the pro forma revenue from hotel operations in FY24, FY23, and FY22. Both pro forma revenue and pro forma EBITDA were the highest among publicly listed hospitality asset owners in India during these years.
The company believes it is well-positioned to capitalize on increasing hospitality demand, coupled with relatively limited new supply in key markets.
JM Financial, Axis Capital, HSBC Securities and Capital Markets (India), ICICI Securities, IIFL Securities, Kotak Mahindra Capital Company, and SBI Capital Markets are serving as the book-running lead managers for the issue.
