Park Hotels IPO comprises a fresh issue of equity shares, aggregating up to Rs 600 crore, and an offer for sale of Rs 320 crore in which promoter group entity Apeejay Pvt Ltd will offload shares worth Rs 296 crore.
Priya Paul mentions that the company is raising Rs 920 crore through an IPO, with Rs 600 crore being used to retire debt and the remaining Rs 320 crore being an OFS. This will make the company debt-free and provide the opportunity to invest in own properties and expand the QSR Flurys brand. The company plans to open 830 own properties and develop the asset light brand zone by the park across India.
Analysts believe Park Hotels IPO allows investors to invest in the eighth largest hotel chain, which has a diversified portfolio and strategically positions itself in key markets, leveraging an asset-light model.