Grand Continent Hotels’ much-anticipated IPO will open for subscription on March 20, 2025. It seeks to raise ₹74.46 crore. In order to gauge market sentiment and potential listing price, investors closely track the IPO Grey Market Premium (GMP).
Grand Continent Hotels IPO GMP
The Grey Market Premium (GMP) is the price at which the company’s shares are traded in the unregulated grey market before official listing. As of now, the GMP for Grand Continent Hotels is reported to be around ₹113 per share, indicating a stable demand for the stock.
Grand Continent Hotels IPO.
= Company: Grand Continent Hotels Ltd., a mid-scale hospitality chain in India.
= IPO Opening Date: March 20, 2025.
= IPO Closing Date: March 24, 2025.
= Issue Size: rs 74.46 cr.
= Fresh Issue: 62.6 lakh shares (rs 70.74 cr).
= Offer for Sale…
— Anuj Jambhulkar (@JambhulkarAnuj) March 21, 2025
However, it’s essential to note that GMP is unofficial and often speculative. It should not be the sole factor for making investment decisions.
- Grand Continent Hotels IPO Details
- IPO Open Date: March 20, 2025
- IPO Close Date: March 24, 2025
- IPO Price Band: ₹107 to ₹113 per share
- Market Lot: 1,200 shares
- Total Issue Size: ₹74.46 crore
- Fresh Issue: ₹70.74 crore
- Offer for Sale (OFS): 3.28 lakh shares by promoter Ramesh Siva
- IPO Listing: NSE SME
- IPO Allotment and Listing Timeline
- Basis of Allotment: March 25, 2025
- Refunds Initiation: March 26, 2025
- Credit to Demat Account: March 26, 2025
- Listing Date: March 27, 2025
Company Overview
Grand Continent Hotels, established in 2011, operates in the mid-scale hotel sector. The company focuses on providing quality hospitality services to budget-conscious business and leisure travelers.
As of September 30, 2024, the company has:
- 16 operational hotels
- 753 hotel keys across Karnataka, Tamil Nadu, Goa, Andhra Pradesh, and Telangana
- An impressive occupancy rate of 72.33%
The company offers a value-for-money experience for its customers, which has been a key driver of its success in the growing hospitality sector.
Grand Continent Hotels Financial Performance
Grand Continent Hotels has demonstrated solid financial growth:
- H1 FY25 Revenue: ₹31.83 crore
- H1 FY25 Net Profit: ₹6.22 crore
- FY24 Revenue: ₹31.23 crore (up 85.9% from ₹16.80 crore in FY23)
- This growth is attributed to the company’s expanding hotel network and its effective cost management strategies.
Use of IPO Funds
The company plans to use the net proceeds from the IPO for the following purposes:
- ₹34.08 crore for loan repayment and prepayment.
- ₹16.79 crore for expanding hotel properties across India.
- The remaining amount for general corporate purposes.
Should You Invest?
While the steady GMP suggests positive investor interest, experts advise analyzing the company’s financials, competitive standing, and growth prospects before making investment decisions.
Additionally, since Grand Continent Hotels is listed on the NSE SME platform, it may involve higher volatility compared to larger companies.
Investors should also consider factors like the company’s debt management, market expansion strategy, and the overall performance of the hospitality sector.
Also Read:
- PhysicsWallah Files IPO Papers: Plans to Raise ₹4,600 Crore
- Paradeep Parivahan Limited IPO Opens: Is This the Right Investment for You?
Conclusion
The Grand Continent Hotels IPO presents an opportunity for investors seeking exposure to the mid-scale hospitality sector. With its impressive financial performance and growth plans, the company’s future seems promising. However, cautious and well-researched investments are recommended.
Stay updated on the latest Grand Continent Hotels IPO GMP trends and market news for better decision-making.
Disclaimer: This post is just for your information and shouldn’t be taken as investment. Before deciding what investments to make, investors should talk to financial experts.
