Lemon Tree Hotels to raise Rs 1,040 cr in IPO

Lemon Tree Hotels to raise Rs 1,040 cr in IPO

(Eds: Correcting the numbers in para 4 and dropping para 5)

Mumbai, Mar 19 (PTI) Hospitality chain Lemon Tree Hotels today said it has fixed price band between Rs 54 and Rs 56 per equity share for its initial public offer to raise around Rs 1,040 crore.

Lemon Tree Hotels public offer comprises sale of up to 185,479,400 equity shares by the existing shareholders, including Maplewood, Whispering Resorts, Palms International and RJ Corp. The issue will open on March 26 and close on March 28.

Lemon Tree, currently the leader in terms of controlling interest in owned and leased rooms has operations spread across the value chain and range from acquiring land to owning, leasing, developing, managing and marketing hotels.

The company has 45 rpt 45 hotels with 4,700 rpt 4,700 rooms in 28 rpt 28 cities. It has a portfolio of 19 owned-hotels, three owned-hotels are located on leased or licensed land, five leased hotels and 18 rpt 18 managed hotels, a company statement said.

Founded in 2002 by Patu Keswani, the company has hotels under three brands - Lemon Tree Premier, which is an upscale brand; Lemon Tree Resorts, a leisure segment brand; Lemon Tree Hotels, a midscale brand and the economy brand Red Fox Hotels.

Kotak Mahindra Capital Company, CLSA India, JP Morgan India and Yes Securities will manage the companys public issue. The equity shares are proposed to be listed on the BSE and the National Stock Exchange. PTI AP DSK BEN BEN