Schloss Bangalore Limited (Leela Hotels) – IPO Overview

Company Profile

Schloss Bangalore Limited, incorporated on March 20, 2019, is a leading luxury hospitality company in India operating under the renowned “The Leela” brand. The company is involved in the ownership, operation, management, and development of high-end hotels and resorts, offering premier accommodation and personalized services rooted in Indian hospitality traditions.

As of May 31, 2024, the company is among India’s largest luxury hotel operators by key count, with a portfolio of 12 operational properties comprising 3,382 keys. This includes The Leela Palaces, Hotels, and Resorts, operated through a combination of direct ownership and third-party management agreements.

Schloss Bangalore’s owned portfolio consists of five landmark hotels located in key business and leisure hubs such as Bengaluru, Chennai, New Delhi, Jaipur, and Udaipur. These properties are celebrated for their blend of traditional Indian architecture and contemporary luxury. Objects of the Issue

• Repayment / Prepayment / Redemption of Borrowings: ₹2,300 crore (approximately 92% of the issue proceeds)

• General Corporate Purposes: Remaining proceeds (not exceeding 25% of the gross proceeds)

Key Strengths

• Established luxury brand with international appeal and rich heritage

• Iconic hotels in premium, high-barrier-to-entry markets

• Diversified revenue streams from a comprehensive luxury ecosystem

• Efficient operational model supported by active asset management

• Strong emphasis on sustainability and renewable energy adoption

  
  

Key Risks

• High revenue dependency on five flagship hotels increases financial concentration risk

• Negative cash flows could hinder operational and strategic growth plans

• Substantial debt levels require robust and consistent cash generation

• Risks related to renovation delays and new project execution

• The business is exposed to seasonal and cyclical variations affecting performance

Schloss Bangalore Limited (Leela Hotels) IPO Key Details

• IPO Dates: 26 to 28 May 2025

• Price Band: ₹413 to ₹435 per share

• Lot Size: 34 shares

• Total Issue Size: ₹3,500 crore

• Retail Quota: 10%

• GMP: Nil (Only for information)

  
  

Allotment Risk

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