Park Hotels makes stock market debut with 20% premium
Feb 12, 2024
New Delhi [India], February 12 : The shares of Park Hotels listed on the exchanges on Monday, with a 20 per cent premium. It made its stock market debut at Rs 186 on the BSE on Monday, against its initial public offering (IPO) issue price of about Rs 155.
Apeejay Surrendra Park Hotels Ltd is a publicly listed company incorporated in the year 1987 and engaged in the business of hotels and motels.
The initial public offering (IPO) of Apeejay Surrendra Park Hotels was held during February 5-7.
According to market data, the public issue was subscribed 62.91 times on the final day, and there was strong interest from qualified institutional bidders (QIBs). Their portion was booked 75.14 times.
The company raised Rs 920 crore through its IPO, which included a fresh share sale of Rs 600 crore and offer-for-sale (OFS) of up to 2.06 crore equity shares. Offer for Sale typically means the promoters (owners) selling their shares to raise additional funds for the company.
"This impressive debut, following an oversubscription by 62.91 times, signifies strong investor confidence in the well-established hotel chain's future prospects," said Shivani Nyati, Head of Wealth, Swastika Investmart Ltd.
"The company benefits from decades of experience in the hospitality industry, reflected in high occupancy rates and a proven track record of service excellence. Its expansion plans indicate exciting possibilities for future revenue growth," Nyati added.
"This listing paints a hopeful picture for ASPHL, but a cautious approach is still advised. Thus, those who want to book profit may exit their holdings, and those who want to hold for the long term may keep a stop loss at (Rs) 168," Nyati further noted.
