SAMHI Hotels Limited – Globe Capital Market LTD.
SAMHI Hotels Limited
Closed
Price Band
₹119 to ₹126 per share
IPO Issue Period
14, Sep 2023 to 18, Sep 2023
Issue Size
₹1,370.10 Cr
Face value
₹1 per share
Fresh issue
₹1200 Cr
Offer for sale
₹170.10 Cr
Minimum Shares for Retail
119 Shares
Listing on
NSE, BSE
Issue Type
Book Building
Registrar to the Issue
Kfin Technologies Limited
Tentative Listing Date
Wednesday, September 27, 2023
QIB
75%
NII
15%
Retail
10%

Jm Financial Limited
Kotak Mahindra Capital Company Limited

Incorporated in 2010, SAMHI Hotels Limited is a branded hotel ownership and asset management platform in India.

SAMHI Hotels has a portfolio of 4,801 keys across 31 operating hotels in 14 of India’s key urban consumption centers, including Bengaluru, Karnataka; Hyderabad, Telangana; National Capital Region (NCR); Pune, Maharashtra; Chennai, Tamil Nadu; and Ahmedabad, Gujarat as of March 31, 2023. The company also has 2 hotels under development with a total of 461 keys in Kolkata and Navi Mumbai.

On August 10, 2023, the company acquired Asiya Capital and the ACIC SPVs (the ACIC SSPA) which gained the company an additional 962 keys across six operating hotels and land for the development of a hotel in Navi Mumbai, Maharashtra.

SAMHI’s hotels operate under well-recognized hotel operators such as Courtyard by Marriott, Sheraton, Hyatt Regency, Hyatt Place, Fairfield by Marriott, Four Points by Sheraton, and Holiday Inn Express, which provide its hotels’ access to the operator’s loyalty programs, management and operational expertise, industry best practices, online reservation systems, and marketing strategies.

For year/ period ended ( in Cr.)

H1FY23 FY22 FY21
Total Revenue 761.42 333.10 179.25
Profit After Tax -338.59 -443.25 -477.73
EPS -43.93 -58.12 -62.64
OPM (%) 34% 7% -33%
PATM (%) -44% -133% -267%

 

  • Its ability to acquire dislocated hotels and demonstrated track record to re-rate hotel performance through renovation and/or rebranding;
  • Its portfolio’s scale and diversification further enhanced by sector tailwinds;
  • Its track record to manage hotels efficiently;
  • Its ability to create operating efficiencies and long-term performance using analytics tools; and
  • Its strong governance and seasoned management team
  1. Repayment/ prepayment/ redemption, in full or in part, of certain borrowings availed of by the company and the subsidiaries including payment of the interest accrued thereon.
  2. General corporate purposes.

The company is trying to encase its brand value with many premium brands. It has been posting losses for all these years so far and has a negative networth. Hence, investors may park moderate funds for long-term rewards.

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