The Indian hospitality sector has been buzzing with optimism, and Leela Hotels Limited—one of India’s most iconic luxury hotel chains—is set to go public with a ₹3,500 crore IPO. Scheduled to open for bidding from 26th May 2025 to 28th May 2025, this book-built issue marks a major milestone in India’s evolving tourism and luxury service landscape.
Leela Hotels has positioned itself as a premier player in the five-star hospitality industry. With a strong presence across India’s top cities and tourist destinations, its IPO is expected to attract attention from retail, institutional, and high-net-worth investors.
🗓️ Leela Hotels IPO Snapshot
| IPO Detail | Information |
|---|---|
| Open Date | 26th May 2025 |
| Close Date | 28th May 2025 |
| Allotment Date | 29th May 2025 |
| Refund Initiation | 30th May 2025 |
| Listing Date | 2nd June 2025 (BSE SME) |
| Issue Size | ₹3,500 Crores |
| Fresh Issue | ₹2,500 Crores (5.75 lakh shares) |
| Offer for Sale (OFS) | ₹1,000 Crores (2.30 lakh shares) |
| Face Value | ₹10 per share |
| Price Band | ₹413 – ₹435 per share |
| Lot Size | 34 shares |
| Issue Type | Book-building IPO |
| Registrar | Kfin Technologies Ltd. |
📊 IPO GMP (Grey Market Premium) Trends
As of 23rd May 2025, the Leela Hotels IPO GMP stands at ₹15, indicating moderate optimism among grey market investors.
| Date | IPO Price | GMP | Est. Listing Price | Est. Gain (%) |
|---|---|---|---|---|
| 23-May-2025 | ₹435 | ₹15 | ₹450 | 3.44% |
| 22-May-2025 | ₹435 | ₹14 | ₹449 | 3.21% |
| 21-May-2025 | ₹435 | ₹21 | ₹456 | 4.82% |
| 20-May-2025 | ₹435 | ₹0 | ₹435 | 0.00% |
🎯 Share Reservation
| Investor Category | Reservation % |
|---|---|
| Retail Investors | <10% |
| QIB (Institutions) | >75% |
| NII (HNIs) | <15% |
| Total | 100% |
📈 Financial Performance of Leela Hotels
Leela Hotels Limited has shown a commendable financial turnaround in FY25, with strong revenue growth and a sharp turnaround in profitability.
| Financial Metric | FY25 (₹ Cr.) | FY24 (₹ Cr.) | YoY Change (%) |
|---|---|---|---|
| Revenue | ₹1,406.56 | ₹1,226.50 | +14.68% |
| Profit After Tax (PAT) | ₹47.66 | ₹-2.13 | +2337.56% |
| Assets | ₹8,266.16 | ₹7,061.88 | +17.05% |
| Debt | ₹3,908.75 | ₹4,242.18 | -7.86% |
| Net Worth | ₹3,604.99 | ₹-2,825.72 | Turnaround |
The growth story is largely driven by tourism revival, MICE (Meetings, Incentives, Conferences and Exhibitions) recovery, and luxury spending rebound post-COVID.
⚙️ Valuation & Technical Indicators
| Indicator | Value (Pre-IPO) | Post-IPO Est. |
|---|---|---|
| Price-to-Earnings (PE) | 160.63 | 213.09 |
| EPS (₹) | 2.71 | 2.04 |
| Return on Net Worth (%) | 1.32 | 1.32 |
| Market Cap (₹ Cr.) | ₹10,155.36 | — |
Although valuations appear stretched when compared to peers, the brand equity and turnaround momentum could justify a long-term bet.
🆚 Peer Comparison
| Company | Revenue (Cr.) | PE Ratio | EPS (₹) | RoNW (%) |
|---|---|---|---|---|
| Leela Hotels Ltd. | ₹1,406.56 | 160.63 | ₹2.71 | 1.32% |
| Indian Hotels Co. Ltd. | ₹6,951.00 | 59.84 | ₹13.40 | 16.42% |
The difference in valuation is significant, suggesting investors are paying a premium for a smaller brand with turnaround potential.
🏢 About Leela Hotels Limited
Established in 2019, Leela Hotels Limited is India’s premier luxury hospitality chain. The group operates hotels under three flagship brands:
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The Leela Palaces
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The Leela Hotels
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The Leela Resorts
Its presence spans Bangalore, Chennai, Delhi, Udaipur, Gandhinagar, and other tourism and business hotspots. Operations include both directly owned and third-party managed properties.
💡 IPO Objectives
Leela Hotels plans to use the proceeds for:
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General corporate purposes
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Repayment of debt
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Strengthening balance sheet
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Enhancing liquidity for expansion
While the fresh issue raises ₹2,500 Cr, the offer-for-sale (₹1,000 Cr) will allow early investors to partially exit.
👨👩👧👦 Promoter Details & Holding
| Promoter Group | Pre-Issue Holding | Post-Issue Holding |
|---|---|---|
| Project Ballet Holdings, BSREP III (Brookfield-linked) | 100% | 75.9% |
Brookfield’s continued majority stake offers strategic credibility, given their reputation in global real estate and hospitality investments.
💼 Lot Sizes & Investment Requirements
| Investor Category | Lots | Shares | Amount (₹) |
|---|---|---|---|
| Retail (Min) | 1 | 34 | ₹14,790 |
| Retail (Max) | 13 | 442 | ₹1,92,270 |
| s-HNI (Min) | 14 | 476 | ₹2,07,060 |
| s-HNI (Max) | 67 | 2,278 | ₹9,90,930 |
| b-HNI (Min) | 68 | 2,312 | ₹10,05,720 |
🧾 How to Apply for Leela Hotels IPO
Step-by-Step Guide:
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Research: Read about GMP, price band, subscription updates.
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Open/Use a Demat Account: Use trusted platforms like Zerodha, Univest, Groww.
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Place Bid: Minimum 1 lot (34 shares).
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Confirm Mandate: Approve the UPI payment request.
💡 Apply from multiple demat accounts (family members) to increase allotment chances.
🔎 Check IPO Allotment Status
A. On NSE Portal:
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Visit www.nseindia.com
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Select “IPO Allotment”
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Choose “Leela Hotels”
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Enter PAN/Application No.
B. On KFintech Portal:
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Visit www.kfintech.com
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Go to “IPO Allotment”
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Select “Leela Hotels IPO”
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Enter details
🤔 Should You Invest in Leela Hotels IPO?
✅ Pros:
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Prestigious luxury brand in India
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Consistent revenue and PAT turnaround
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Backed by credible global investors
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Well-timed market entry amidst tourism boom
❌ Cons:
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High valuation (PE over 160x)
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Debt remains substantial
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Lower profitability vs. peers
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Luxury segment faces cyclic risks
Verdict:
If you believe in India’s long-term tourism potential and are open to moderate risks, this IPO offers solid brand value and revival momentum. However, valuation-conscious investors may wait for corrections or better clarity post-listing.
📌 Final Thoughts
The Leela Hotels IPO is not just another public offering—it represents the aspiration of one of India’s most iconic hotel chains to scale and redefine luxury hospitality through capital market participation.
With a mix of optimism from tourism recovery and caution from premium valuation, the IPO will likely attract significant investor interest.
🏁 To Learn More or Book a Stay:
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