Juniper Hotels Ltd
Complete IPO details, including price band, financials, subscription status, and key insights.
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IPO Snapshot
Key metrics and details at a glance.
Price Band
₹360
Per ShareLot Size
40 Shares
Minimum Investment
₹14,400
Issue Size
₹1,800 Cr
Face Value
₹10
Per ShareIPO Type
Book Building
Retail Quota
10%
QIB Quota
75%
NII Quota
15%
IPO Timeline
Important dates for your applying strategy.
Subscription Status
Live demand across investor categories.
Track real-time subscription levels:
*Real-time data subject to exchange updates
Juniper Hotels Ltd
Business model, operations, and market positioning.
Promoter Holding (Pre-Issue)
100%
Issue Type
Book Building
ISIN
INE696F01016
About the Company
Juniper Hotels Limited is a luxury hotel development and ownership company, and is the largest owner, by number of keys of "Hyatt" affiliated hotels in India as of September 30, 2023. As on date of this Red Herring Prospectus, The Company has a portfolio of seven hotels and serviced apartments and as on September 30, 2023, it operated 1,836 keys across the luxury, upper upscale and upscale category of hotels across various locations in India, namely Mumbai, Delhi, Ahmedabad, Lucknow, Raipur and Hampi. The Company benefits from a unique partnership between Saraf Hotels (and its affiliates) and affiliates of, Hyatt Hotels Corporation.
Industry Overview
Hotels in India are segmented into the luxury and upper upscale segment, upscale segment, upper midscale segment, midscale segment and economy segment. The overall demand CAGR for hotels in India is expected to reach 11.6% between Fiscal 2023 and Fiscal 2027. The luxury and upper upscale segments had a revenue and supply share, contributing to 35% of the supply share and 55% of the revenue share in 2022. Approximately, 60,000 rooms are expected to be added between 1 October 2023 and 31 March 2027, with approximately 25% of the new supply being in the luxury upper upscale segment.
Company History
Juniper Hotels Limited was incorporated as "Seajuli Finance Private Limited" on September 16, 1985, as a private limited company under the Companies Act, 1956, at Kolkata, pursuant to a certificate of incorporation granted by the Registrar of Companies, West Bengal at Kolkata ("RoC WB"). Pursuant to an allotment of Equity Shares by the Company and in accordance with the provisions of Section 43A of the Companies Act, 1956, its Board passed a resolution on September 2, 1986, wherein its Board noted that the Company had become a deemed public company, and the name of the Company was changed to "Seajuli Finance Limited" with effect from September 2, 1986, pursuant to a certificate of incorporation endorsed by the RoC WB to that effect. Pursuant to resolutions passed by its Board and its Shareholders on August 4, 1995 and August 31, 1995 respectively, the name of the Company was changed to "Seajuli Property & Viniyog Limited" to reflect the business activities of the Company and a fresh certificate of incorporation was issued by the RoC WB on October 13, 1995. Since the incorporation of the Company till October 30, 1996, the Company was involved in the business of making investments. Pursuant to a special resolution passed by itsr Shareholders on October 30, 1996, the commencement of hotel business of the Company was approved. Consequent to the amendment in Section 43A of the Companies Act, 1956 by the Companies (Amendment) Act, 2000, the Company was re-converted from a deemed public company to a private limited company pursuant to a resolution passed by its Board on June 13, 2001 and the certificate of incorporation of the Company was endorsed by the RoC WB to that effect. Thereafter, pursuant to a special resolution passed by its Shareholders on October 16, 2003, the name of the Company was changed from "Seajuli Property & Viniyog Private Limited" to "Juniper Hotels Private Limited", to reflect the main activities, i.e., hotel business, undertaken by the Company and a fresh certificate of incorporation was issued by the RoC WB on December 23, 2003. Further, pursuant to a special resolution passed by the Shareholders dated October 16, 2003 which was confirmed by an order of the Company Law Board, Eastern Region Bench, Kolkata dated February 18, 2005, the registered office of the Company was shifted from the state of West Bengal to the state of Maharashtra with effect from February 5, 2005 and a certificate of registration of the order of the Company Law Board for change of state was issued by the Registrar of Companies, Maharashtra at Mumbai ("RoC") on April 27, 2005. On the conversion of the Company from a private limited company to a public limited company, pursuant to a resolution passed by its Board on August 4, 2023 and a special resolution passed by its Shareholders on August 7, 2023, its name was changed to "Juniper Hotels Limited" and a fresh certificate of incorporation dated August 28, 2023 was issued by the RoC.
Products & Services
- Juniper Hotels Limited is a luxury hotel development and ownership company,
Growth Strategy
- Enhancement of facilities at its existing assets
- Development of new opportunities at its existing assets
- Explore value accretive acquisition of assets and selective expansion
- Continue to improve efficiencies including by enhancing utilization of space with a view to increase revenues
Customer Base
Customers from within the city as well as business travelers.
Financial Performance
Revenue, profit after tax and total assets across the last 3 reported financial years.
Revenue
Amount in ₹ crore
Profit After Tax (PAT)
Amount in ₹ crore
Total Assets
Amount in ₹ crore
Figures in ₹ crore, on a consolidated basis, as reported for FY24 to FY26.
Objects of the Issue
How the company plans to utilize IPO proceeds.
Use of Proceeds
The funds raised through this IPO will be used for:
Initial public offering of 50,000,000 equity shares^ bearing face value of Rs. 10 each ("Equity Shares") of Juniper Hotels Limited ("Company" or the "Issuer") for cash at a price of Rs. 360 per equity share (including a share premium of Rs. 350 per equity share) (the "Issue Price") aggregating to Rs. 1800.00 crores^ (the "Issue"). The issue constituted 22.47% of the post-issue paid up equity share capital of the company. The face value of the equity shares is Rs. 10 each and the issue price is 36.00 times the face value of the equity shares. ^Subject to finalisation of the basis of allotment
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- Expertise in site selection and identifying opportunities to develop its hotels;
- Unique partnership between asset owner and operator brand backed by strong parentage;
- Robust asset management capabilities with a focus on enhancing operating efficiency and profitability;
- Increasing returns by having multiple revenue streams and complementary offerings;
- Well positioned to benefit from industry trends;
- The Company and certain of its Subsidiaries have incurred losses in the past.
- The company has substantial indebtedness which requires significant cash flows to service, and limits its ability to operate freely.
- The company is subject to a number of conditions and restrictions under its financing agreements. Any breach of the terms under its financing arrangements or its inability to meet the company obligations, including financial and other covenants under its financing arrangements could adversely affect its business and financial condition.
- Its recently acquired entity, CHPL, which is now the company wholly owned subsidiary, has witnessed delays in repayment of loans in the past and has accordingly undertaken strategic debt restructuring. Any inability of CHPL to meet the terms of restructuring could adversely affect its business, financial condition, cash flows and results of operations.
- A significant portion of its revenue from operations (90.48% in the six months ended September 30, 2023) is derived from three hotels/serviced apartments in Mumbai (Maharashtra) and New Delhi out of the portfolio of four hotels/serviced apartments of the Company, and any adverse developments affecting these hotels/serviced apartments or the regions in which they operate, could have an adverse effect on its business, results of operation, cash flows and financial condition.