Grand Continent Hotels share price makes a flat debut, stock opens at ₹112.90 apiece on NSE SME

Grand Continent Hotels share price made a flat debut on NSE SME today. Grand Continent Hotels share price today opened at ₹112.90, which is 0.088% lower than the issue price of ₹113.

Grand Continent Hotels IPO commenced for subscription on Thursday, March 20, and concluded on Monday, March 24. Grand Continent Hotels IPO price band was set between ₹107 and ₹113 per equity share, with a face value of ₹10 each. Investors could place bids for a minimum of 1,200 equity shares and in increments of 1,200 shares thereafter. Grand Continent Hotels IPO subscription status was 1.79 times on the third bidding day, according to chittorgarh.com

Established in 2011, Grand Continent Hotels Limited operates a chain of hotels in India. The company focuses on the mid-market segment, managing 19 properties across six key Indian cities, which together provide over 900 rooms. Each hotel is located in prime city areas, designed to cater to the varying requirements of both business and leisure travelers.

Grand Continent Hotels enhances the customer experience by offering clear service interactions, accessible infrastructure, and a focus on providing good value. They emphasize consistent quality of service, availability, and regularly assess and refine their offerings to align with changing guest expectations.

As stated in the Red Herring Prospectus (RHP), the company’s publicly traded peers include Lemon Tree Hotels Ltd (with a P/E ratio of 67.79), Sayaji Hotels Ltd (with a P/E ratio of 32.38), and Royal Orchids Hotels Ltd (with a P/E ratio of 21.99).

Grand Continent Hotels IPO details

Grand Continent Hotels IPO consists of fresh issue of shares of up to ₹70.74 crore and an offer for sale (OFS) of up 3,28,800 equity shares of face value of ₹10 each by a promoter selling shareholder.

The company intends to utilize the net proceeds—calculated as the gross proceeds from the new offering minus the related expenses—to achieve several objectives, which include the repayment or early settlement, either fully or partially, of certain existing loans held by the company; the expansion of their hotel properties throughout India; and for various corporate purposes.

Furthermore, the company anticipates that listing equity shares on the NSE Emerge will enhance their visibility and brand image among both current and potential customers, as well as create a public market for their equity shares in India.

Indorient Financial Services Ltd serves as the book-running lead manager for the Grand Continent Hotels IPO, while Link Intime India Private Ltd acts as the registrar for the offering. The market maker for the Grand Continent Hotels IPO is Alacrity Securities Ltd.

Grand Continent Hotels IPO GMP today

Grand Continent Hotels IPO GMP is +1. This indicates Grand Continent Hotels share price were trading at a premium of ₹1 in the grey market, according to investorgain.com.

Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of Grand Continent Hotels share price was indicated at ₹114 apiece, which is 0.88% higher than the IPO price of ₹113.

According to the grey market activities observed over the past 12 sessions, the IPO GMP has risen today, indicating a strong listing is anticipated. The lowest GMP recorded is ₹0, and the highest GMP stands at Re 1.

'Grey market premium' indicates investors' readiness to pay more than the issue price.'

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