Juniper Hotels Limited consists of a fresh issue of shares worth INR 1800 crores. The company seeks funds to repay, prepay, or redeem loans, including those from recent acquisitions (CHPL, CHHPL), for general corporate use.
Juniper Hotels Ltd IPO – Important Details
| Juniper Hotels IPO Date | February 21, 2024 to February 23, 2024 |
| Juniper Hotels IPO Listing Date | February 28, 2024 |
| Juniper Hotels IPO Price | INR 342-360 per share |
| Juniper Hotels IPO Lot Size | 40 Shares |
| Juniper Hotels IPO Total Issue Size | INR 1800 crores |
| Juniper Hotels IPO Basis of Allotment | February 26, 2024 |
| Juniper Hotels IPO Initiation of Refunds | February 27, 2024 |
| Juniper Hotels IPO Credit of Shares to Demat | February 27, 2024 |
| Juniper Hotels IPO Issue Type | Book Built Issue |
| Juniper Hotels IPO Listing At | BSE NSE |
Juniper Hotels IPO – Company Profile
Juniper Hotels, a premier hospitality firm, boasts India’s most extensive Hyatt-affiliated hotel portfolio. With 40+ years of partnership, they excel in developing, owning, and efficiently operating luxury hotels, emphasizing guest satisfaction.
They boast iconic properties across luxury, upper upscale, and upscale categories in key Indian cities like Mumbai, Delhi, and Ahmedabad. Flagships like Grand Hyatt Mumbai and Hyatt Regency Lucknow dominate their markets.
They strategically acquire prime locations for its upscale properties like Grand Hyatt Mumbai and Andaz Delhi. They swiftly transitioned from acquisition to the operational phase, aiming for further expansion and consolidation within the Saraf Group’s hospitality sector.
Juniper Hotels Limited IPO – Fundamental Analysis
Juniper Hotels’ IPO financials reveal a pattern of revenue growth amidst significant profitability challenges and liquidity concerns, indicating a high-risk investment opportunity that requires careful consideration of the company’s potential for turnaround and long-term viability in the hospitality sector.
Revenue Growth:
The company has experienced significant revenue growth, from ₹1,663.51 million in 2021 to ₹6,668.54 million in 2023. This suggests an expanding business and potentially successful operational strategies to increase sales.
Equity Fluctuations:
Equity decreased from ₹5,438.97 million in 2021 to ₹3,545.07 million in 2023, indicating potential equity adjustments or write-downs that could reflect financial restructuring or losses.
Profitability Concerns:
Juniper Hotels has struggled with profitability, with substantial losses in 2021 and 2022 and a marginal loss of ₹14.97 million in 2023, indicating a slight improvement but still underlining ongoing challenges in achieving profitability.
Return on Net Worth (RoNW):
The negative RoNW values, improving marginally to -(0.42)% in 2023, highlight difficulties in generating shareholder value, posing a significant concern for potential investors.
Diluted EPS:
The Diluted EPS has remained negative, moving from -(13.88) to -(0.10), suggesting the company is close to breaking even in 2023, which could be seen as a positive sign of potential recovery.
Asset and Liability Management:
Total assets have slightly decreased, while total liabilities remain high, indicating a leveraged position and potential financial strain. The high debt levels, as suggested by past debt-equity ratios, further exacerbate the financial risk.
Liquidity Issues:
The low current ratios for 2021 and 2022 suggest significant liquidity challenges, potentially impacting the company’s ability to meet its short-term obligations.
Juniper Hotels IPO Financial Information
| Particular | As of 31 March 2021 | As of 31 March 2022 | As of 31 March 2023 |
| Revenue (₹ in millions) | 1,663.51 | 3,086.89 | 6,668.54 |
| Equity (₹ in millions) | 5,438.97 | 3,563.67 | 3,545.07 |
| Expenses (₹ in Million) | 4,622.57 | 5,578.55 | 7,428.07 |
| Profit and Loss After Tax (₹ in millions) | (1,994.86) | (1,880.31) | (14.97) |
| RoNW (%) | (36.68) | (52.76) | (0.42) |
| Diluted EPS only (₹) | (13.88) | (13.08) | (0.10) |
| NAV per Equity Share (₹) | 37.85 | 24.80 | 24.67 |
| Total Assets (in millions) | 30,555.37 | 30,698.61 | 30,202.68 |
| Total Liabilities (in millions) | 2511.64 | 2713.49 | 2665.76 |
| Debt-Equity Ratio | 1.72 | 1.93 | – |
| Current Ratio | 0.09 | 0.13 | – |
Juniper Hotels Ltd IPO Peer Comparison
Juniper Hotels Limited, with a negative EPS and RoNW, contrasts starkly with peers like Chalet Hotels, Lemon Tree Hotels, Indian Hotels Company, and EIH Limited, which show positive earnings and return on net worth, highlighting Juniper’s financial challenges in a competitive hospitality sector.
| Company | Revenue (₹ in millions) | Face Value per Equity Share (₹) | P/E Ratio (Times) | EPS (Basic and Diluted) (₹) | RoNW (%) | NAV per Equity Share (Basic) (₹) |
| Juniper Hotels Limited | 6,668.54 | 10 | NA | (0.10) | (0.42) | 24.67 |
| Chalet Hotels Limited | 11,284.67 | 10 | 84.37 | 8.94 | 11.89 | 75.19 |
| Lemon Tree Hotels Limited | 8,749.90 | 10 | 95.52 | 1.45 | 9.94 | 17.86 |
| The Indian Hotels Company Limited | 58,099.10 | 1 | 66.78 | 7.06 | 12.18 | 60.84 |
| EIH Limited | 20,188.07 | 2 | 58.71 | 5.03 | 9.48 | 55.52 |
Juniper Hotels Limited IPO Objective
The main objective of Juniper Hotels is to repay borrowings and acquire CHPL and CHHPL.
- Repayment/ prepayment/ redemption, in whole or in part, of certain outstanding borrowings availed by the company and their recent acquisitions, namely CHPL and CHHPL: The company intends to utilize an aggregate amount of INR 1500 crores from the Net Proceeds towards repaying debts, including acquisitions of CHPL and CHHPL borrowings. Debt reduction enables internal investment for business expansion.
- General Corporate Purpose: The Company plans to deploy the balance funds towards the general corporate goals, including funds allocated for asset enhancement, growth opportunities, marketing, working capital, corporate needs, and acquisitions.
Juniper Hotels IPO Risks And Challenges
Juniper Hotels risk includes increased exposure to losses post-acquisition of CHPL and CHHPL, significant revenue reliance on specific properties, and persistent fixed expenses during demand fluctuations.
- The acquisition of CHPL and CHHPL increases their exposure to losses. Continued losses could impact consolidated results, cash flows, and financial condition, potentially leading to funding requirements, write-offs, and guarantee obligations, adversely affecting reputation and economic stability.
- Revenue reliance on Grand Hyatt Mumbai, Andaz Delhi, and Hyatt Delhi Residences is significant. Factors like competition, new airport projects, COVID-19, and government policies may decrease revenue, impacting business and financials.
- Fixed expenses like employee, lease, and utility costs persist during demand fluctuations. Unpredictable industry changes may hinder cost reduction efforts, impacting financials, especially during economic downturns or growth spurts.
Juniper Hotels Ltd IPO – Industry & Market Potential
India’s hotel industry shows growth potential with increased supply, domestic travel robustness, and contributions to GDP. Despite COVID-19 impacts, strong domestic demand and normalization of travel patterns bolster sector recovery and performance.
Luxury supply grew significantly in the top three metros, while Upper Upscale expansion occurred notably in NCR, Bengaluru, and Mumbai. Other Markets accounted for over 50% of new supply between October 2023 and Fiscal 2027.
Foreign visitors are expected to return gradually, reaching 87.5% recovery by Fiscal 2024 and complete recovery by Fiscal 2025, with steady growth afterward. Domestic travel surged in Fiscal 2023 and is expected to continue growing steadily.
Juniper Hotels Private Limited IPO – Type of Offer
Juniper Hotels will have a fresh issue of shares worth INR 1800 crores. The company seeks funds to repay, prepay, or redeem loans, including those from recent acquisitions (CHPL, CHHPL), for general corporate use.
Juniper Hotels IPO Offer Size
The offer size of Juniper Hotels is INR 1800 crores. The company seeks funds to repay, prepay, or redeem loans, including those from recent acquisitions (CHPL, CHHPL), for general corporate use.
Juniper Hotels IPO Allotment Structure
Juniper Hotels allocation will be as follows: 75% for Qualified Institutional Buyers (QIB), 15% for Non-Institutional Investors (NII), and 10% for Retail Individual Investors (RII) in accordance with SEBI regulations.
● Qualified Institutional Buyers (QIB): As per SEBI regulations, 75% of the shares offered through the IPO will be reserved for Qualified Institutional Buyers. These include entities such as banks, mutual funds, and insurance companies.
● Non-Institutional Investors (NII): 15% of the shares will be reserved for Non-Institutional Investors. These typically include corporate bodies or individuals investing more than Rs.2 lakhs.
● Retail Individual Investors (RII): The remaining 10% of the shares will be allotted to Retail Individual Investors. These individual investors apply for shares with a total value of less than Rs.2 lakhs.
How to apply for a Juniper Hotel IPO?
To apply for the Juniper Hotels IPO through Alice Blue, you would typically follow these steps:
1. Open a Demat and Trading Account: If you don’t already have one, you need to open a Demat and trading account with Alice Blue.
2. Check for IPO Details: Once your account is active, you can check for the Juniper Hotels IPO details in the IPO section of the Alice Blue platform.
3. Place the Bid: Enter the number of shares you wish to buy and place your bid within the IPO’s price band.
4. Submit the Application: Confirm all your details and submit your application.
You can apply for Juniper Hotels Limited’s IPO at Alice Blue [M1] in just a few clicks!
Check Allotment Status: Post the allotment process, you can check the allotment status to see if you have received any shares.
Please note that the allotment of shares is not guaranteed and will depend on the demand for the IPO.
How to check Juniper Hotels IPO Allotment Status on Alice Blue?
Checking the allotment status of an IPO in Alice Blue is usually straightforward. Please follow these general steps:
1. Log in to your Alice Blue Account: You can do this through the Alice Blue website or their trading app.
2. Navigate to the Portfolio or IPO Section: This might differ based on the layout of Alice Blue’s platform, but generally, you can find the status of your IPO application under the ‘Portfolio’ or ‘IPO’ section.
3. Find the IPO Allotment Status: Look for a sub-section called ‘IPO Allotment Status’ or something similar. This is where you can see the status of the IPOs you have applied for.
4. Select the Juniper Hotels IPO: If you have applied for multiple IPOs, there might be a dropdown menu or lists where you can select the IPO you are interested in. Select the Juniper Hotels IPO.
5. Check the Status: The status of your application should be displayed here. If the shares have been allocated to you, it would be mentioned here.
If you face any issues, it’s recommended that you contact Alice Blue’s customer support for detailed assistance.
Apart from Alice Blue, there are other ways to check the allotment status of the Juniper Hotels IPO:
Registrar’s Website: Visit the website of KFin Technologies Limited, the registrar of the Juniper Hotels IPO. On the homepage, look for the ‘IPO Allotment Status’ option. You must enter your PAN, application, or Demat account number to check your allotment status. Click on the ‘Submit’ button to view your IPO allotment status.
NSE and BSE: You can also check the allotment status on the National Stock Exchange’s (NSE) and Bombay Stock Exchange’s (BSE) official websites. You would need your application number and PAN to check the status.
Please note that the allotment status will only be available after completing the allotment process, a few days after the IPO window closes.
Juniper Hotels IPO Offer Registrar
The registrar for the Juniper Hotels IPO is KFin Technologies Limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
Contact information for the registrar:
KFin Technologies Limited
Selenium Tower B, Plot No. 31, 32
Gachibowli, Financial District
Nanakramguda, Serilingampally
Hyderabad, 500 032
Telangana, India
Tel: +91 40 6716 2222
E-mail: [email protected]
Website: www.kfintech.com
Juniper Hotels IPO FAQs
1. What is the allotment date of the Juniper Hotels IPO?
The allotment date of Juniper Hotels IPO is February 26, 2024.
2. What is the price band of the Juniper Hotels IPO?
The price band of the shares issued by the company is INR 342-360 per share.
3. What is the size of the Juniper Hotels IPO?
Juniper Hotels Limited consists of a fresh issue of shares worth INR 1800 crores. The company seeks funds to repay, prepay, or redeem loans, including those from recent acquisitions (CHPL, CHHPL), for general corporate use.
4. What is the listing date of the Juniper Hotels IPO?
The listing date of the Juniper Hotels IPO is February 28, 2024.
