Ventive Hospitality Files for Rs 2,000 Crore IPO

Ventive Hospitality, a joint venture between Blackstone Group and Panchshil Realty, has filed for a Rs 2,000 crore IPO with Sebi. The IPO will be a fresh issue of equity shares with no OFS component. Proceeds will mainly be used for debt repayment. Ventive Hospitality owns luxury assets in India and the Maldives.

Ventive Hospitality, a joint venture between Blackstone Group and Panchshil Realty, submitted preliminary documents to Sebi on Tuesday to raise Rs 2,000 crore through an initial public offering (IPO).

The Pune-based firm's IPO comprises a fresh issue of equity shares without an offer-for-sale (OFS) portion, as per the draft red herring prospectus (DRHP).

The company may also contemplate a pre-IPO placement totaling up to Rs 400 crore, which would reduce the overall issue size. Of the IPO proceeds, Rs 1,600 crore will be allocated for debt repayment.

According to the draft documents, Ventive Hospitality had borrowings amounting to Rs 412.60 crore as of March 2024. Presently, Panchshil holds a 60 percent stake in Ventive, while Blackstone owns the remaining 40 percent stake.

Ventive Hospitality focuses on luxury business and leisure segments in India and the Maldives. As of March 2024, it has 11 operational hospitality assets comprising 2,036 keys, including properties operated by or franchised from Marriott, Hilton, and other operators, such as Anantara Maldives and The Ritz-Carlton, Pune.

JM Financial, Axis Capital, ICICI Securities, IIFL Securities, Kotak Mahindra Capital Company, SBI Capital Markets, and HSBC Securities and Capital Markets (India) Private Ltd are the lead book-running managers for the IPO.