Brigade Hotel Ventures shares disappoint at debut; stock list at 10% discount

Shares of Brigade Hotel Ventures disappointed at its debut on Thursday, July 31 as the South India focused hotel company was listed at Rs 81.10 on NSE, a 9.89 per cent discount against the issue price of Rs 90 price. Similarly, the stock kicked off its maiden trading session with a discount of 8.89 per cent over the given issue price on BSE at Rs 82 apiece.

The listing has been below expectations Ahead of its listing, shares of Brigade Hotel Ventures have seen a sharp correction in their grey market premium (GMP) due to a muted bidding and mixed market sentiments. Last heard, the company was commanding a no premium in the unofficial market, suggesting a flat for the investors. 

The IPO of Bengaluru-based Brigade Hotel Ventures ran for subscription between July 24 and July 28. It had offered its shares in the price band of Rs 85-90 per share with a lot size of 166 shares. The company raised a total of Rs 759.60 crore via IPO, which was entirely a fresh shares sale of 8,44,00,000 equity shares.

The issue was overall subscribed only 4.48 times fetching over 2.93 lakh applications. The allocation for the qualified institutional bidders (QIBs) was subscribed a solid 5.42 times The portion for non-institutional investors (NIIs) booked 1.92 times. Allocations for retail investors and employees were booked 6.40 times and merely 94 per cent, respectively.

Brigade Hotel Ventures is the owner and developer of hotels in key cities in India, primarily across South India. It owns chain-affiliated hotels and rooms in South India among major private hotel asset owners, with at least 500 rooms pan India as of March 31, 2025. Its hotels are operated by global marquee hospitality players such as Marriott, Accor and InterContinental Hotels Group.

Brokerage firms had mixed views on this IPO. JM Financial and ICICI Securities were the book-running lead managers of the Brigade Hotel Ventures IPO, while Kfin Technologies was the registrar for the issue.