The hospitality sector is heating up again, and Brigade Hotel Ventures IPO is the latest to ride this resurgence. Opening for bidding between 24th July and 28th July 2025, this ₹759.60 crore IPO consists of a fresh issue of 8.44 crore shares. Backed by the Brigade Group—an established name in Indian real estate—the IPO seeks to capitalize on the growing demand for upscale hotel accommodations, events, and travel in India.
With a price band of ₹85–₹90 per share, this IPO is being closely watched by institutional and retail investors alike. Let’s deep-dive into all the critical details, including the company’s financials, GMP trends, technical indicators, and pros/cons to determine if this offering is worth your investment.
IPO Details at a Glance
| Particulars | Details |
|---|---|
| IPO Open Date | 24th July 2025 |
| IPO Close Date | 28th July 2025 |
| Allotment Date | 29th July 2025 |
| Refund Initiation | 29th July 2025 |
| Listing Date | 31st July 2025 |
| Issue Size | ₹759.60 Cr (8.44 Cr Shares) |
| Face Value | ₹10 per share |
| Lot Size | 166 shares |
| Price Band | ₹85 to ₹90 per share |
| Registrar | KFin Technologies Ltd |
| Exchanges | BSE and NSE |
| Type | Bookbuilding IPO |
Share Reservation Breakdown
| Investor Category | Reservation % |
| QIB | Not less than 75% |
| NII (HNI) | Not more than 15% |
| Retail | Not more than 10% |
Grey Market Premium (GMP) Trends
As of 22nd July 2025, the GMP for Brigade Hotel Ventures IPO stands at ₹14, signaling an expected listing price of ₹104 against the upper band of ₹90. This translates to a potential gain of 15.55% on listing.
| Date | IPO Price | GMP | Est. Listing Price | Est. Gain |
| 22-07-2025 | ₹90 | ₹14 | ₹104 | 15.55% |
| 21-07-2025 | ₹90 | ₹6 | ₹96 | 6.66% |
| 19-07-2025 | ₹90 | ₹0 | ₹90 | 0% |
Company Overview
Brigade Hotel Ventures Limited is a hospitality arm of the reputed Brigade Enterprises Ltd (BEL). The company owns and operates a diversified hotel portfolio spread across key cities in South India, including Bengaluru, Chennai, Kochi, and Hyderabad.
The hotel properties operate under renowned international brands and are strategically positioned to capture MICE (Meetings, Incentives, Conferences, and Exhibitions) demand. The offerings include high-end hospitality services such as:
- Luxury and business hotels
- Fine-dining and specialty restaurants
- Wellness and spa centers
- Convention halls and event venues
Financial Overview (FY23 to FY25)
| Financial Year | Revenue (Cr) | PAT (Cr) | Net Worth (Cr) | Debt (Cr) | Assets (Cr) |
| FY2025 | ₹470.68 | ₹23.66 | ₹78.58 | ₹617.32 | ₹947.57 |
| FY2024 | ₹404.85 | ₹31.14 | ₹58.74 | ₹601.19 | ₹886.78 |
| FY2023 | ₹356.41 | ₹-3.09 | ₹33.81 | ₹632.50 | ₹840.67 |
- Revenue CAGR (FY23–FY25): 14.6%
- Net profit dipped in FY25 despite rising revenues, hinting at operational cost pressure or one-off expenses.
- High debt level remains a concern.
Technical and Valuation Metrics
| Indicator | Value |
| EPS | ₹0.72 |
| PE Ratio | 125.00 |
| RoNW | 30.11% |
| ROE | 30.11% |
| ROCE | 1.62% |
| EBITDA Margin | 35.45% |
| PAT Margin | 5.03% |
| Price to Book Value | 32.26 |
| Market Capitalization | ₹3,418.47 Cr |
Interpretation: A PE of 125x appears steep, especially compared to peers. However, the high RoNW and stable EBITDA margin provide some comfort.
Peer Comparison
| Company | PE Ratio | EPS | RoNW | Revenue (Cr) |
| Brigade Hotel Ventures Ltd | 125.00 | 0.72 | 30.11% | 470.68 |
| The Indian Hotels Co. Ltd | 56.06 | 13.40 | 16.42% | 8,565 |
| Chalet Hotels Ltd | 136.63 | 6.52 | 4.68% | 1,754 |
| Lemon Tree Hotels Ltd | 62.04 | 2.48 | 13.59% | 1,084 |
Compared to peers, Brigade’s small revenue base and high PE suggest aggressive pricing, but its RoNW is among the highest in the category.
Promoter Holdings
| Phase | % Holding |
| Pre-Issue | 95.26% |
| Post-Issue | 74.09% |
Post-IPO dilution reflects a standard reduction for capital-raising companies.
Use of IPO Proceeds
Though the IPO is entirely a fresh issue, the proceeds will be used primarily by the company to:
- Repay or prepay certain outstanding borrowings
- Fund ongoing capital expenditure
- Support general corporate purposes
Investment Pros & Cons
Pros:
- Diversified hotel asset base in key cities
- Consistent revenue growth
- Strong brand affiliations and operational efficiency
- Experienced management under Brigade Group
- Promising long-term outlook for hospitality
Cons:
- High debt levels (~₹617 Cr)
- Low net profitability
- Aggressive IPO valuation (PE 125x)
- Sector remains sensitive to tourism/travel cycles
Retail Bidding Guide
| Category | Lots | Shares | Amount (₹) |
| Retail Min | 1 | 166 | ₹14,940 |
| Retail Max | 13 | 2,158 | ₹1,94,220 |
| S-HNI Min | 14 | 2,324 | ₹2,09,160 |
| B-HNI Min | 67 | 11,122 | ₹10,00,980 |
Subscription Status (To Be Announced)
| Category | Shares Subscribed | Times Subscribed |
| Retail | TBD | TBD |
| QIB | TBD | TBD |
| NII (HNI) | TBD | TBD |
| Total | TBD | TBD |
Check live subscription updates during the IPO window on NSE or the registrar’s portal.
Allotment & Listing Process
Registrar: KFin Technologies Limited
How to Check Allotment:
- Visit NSE India or KFintech portal
- Choose IPO > Brigade Hotel Ventures
- Enter PAN or application number
- Submit to view allotment status
Final Verdict: Should You Apply?
The Brigade Hotel Ventures IPO presents a mix of opportunity and caution. Its fundamentals in terms of RoNW and EBITDA are solid. However, the high PE ratio and low EPS raise red flags from a valuation standpoint.
Ideal for:
- Long-term investors bullish on Indian hospitality
- Diversification seekers in real estate-linked sectors
Less ideal for:
- Conservative investors
- Short-term IPO flippers looking for low-risk listing gains
If market conditions remain favorable, early listing gains (up to 15%) may be realized. But prudent investors should closely watch the subscription data and assess the final demand from QIB and HNI segments.
ALSO READ: Indiqube Spaces IPO: A Bold Bet on Flex Workspaces
