Schloss Bangalore Limited, the parent company of luxury hospitality brand The Leela, is launching its much-anticipated IPO worth ₹3,500 crores. The offering includes a fresh issue of 5.75 crore shares totaling ₹2,500 crores and an offer for sale of 2.30 crore shares worth ₹1,000 crores. The IPO will open for subscription from May 26 to May 28, 2025, giving investors a chance to tap into the premium hospitality sector.
With a price band of ₹413 to ₹435 per share and a lot size of 34 shares, the minimum investment for retail investors stands at ₹14,042. The allotment is expected by May 29, with the company set to list on the BSE and NSE on June 2, 2025. This IPO offers investors a strategic entry into a sector poised for long-term growth and market expansion.
Schloss Bangalore Limited IPO is a fundraise worth ₹3,500 crores comprising fresh issue of 5.75 crore shares and offer for sale of 2.30 crore shares. The IPO will be available for subscription from May 26, 2025, to May 28, 2025, providing an opportunity for investors looking to gain a stake in the hospitality sector.
| Schloss Bangalore IPO date | May 26, 2025 - May 28, 2025 |
| Price band | ₹413 to ₹435 per share |
| Face value | ₹10 per share |
| Lot size | 34 shares |
| Issue type | Bookbuilding IPO |
| Fresh issue | 5,74,71,264 shares amounting to ₹2,500 crores |
| Offer for Sale (OFS) | 2,29,88,505 shares amounting to ₹1,000 crores |
| Total issue size | 8,04,59,769 shares amounting to ₹3,500 crores |
| Listing at | BSE, NSE |
| Share holding post issue | 33,39,57,878 shares |
| Share holding pre issue | 27,64,86,614 shares |
The Schloss Bangalore Limited IPO opens for subscription on May 26, 2025, and closes on May 28, 2025, with allotment slated for May 29, 2025.
| IPO open date | May 26, 2025 (Monday) |
| IPO close date | May 28, 2025 (Wednesday) |
| Basis of allotment | May 29, 2025 (Thursday) |
| Initiation of refunds | May 30, 2025 (Friday) |
| Credit of shares to demat account | May 30, 2025 (Friday) |
| Listing date on exchanges | June 2, 2025 (Monday) |
| Cut-off time for UPI mandate confirmation | 5 PM on May 28, 2025 (Wednesday) |
Schloss Bangalore Limited, established in March 2019, is a premier luxury hospitality company operating under "The Leela" brand across India. As of May 2024, it stands as one of India's largest luxury hospitality companies with 12 operational hotels comprising 3,382 keys, including The Leela Palaces, Hotels, and Resorts. The company operates through both direct ownership and management agreements, offering personalized services that blend traditional Indian hospitality with contemporary luxury.
The company's owned portfolio features five landmark properties with 1,216 keys strategically located across key business and leisure destinations including Bengaluru, Chennai, New Delhi, Jaipur, and Udaipur. These properties, designed as modern palaces, showcase traditional Indian architecture while offering world-class amenities including 67 restaurants, bars, and cafes, 12 spas and wellness sanctuaries, and comprehensive MICE facilities for corporate and social events. Promoted by Brookfield-affiliated private equity funds, the company continues to expand its luxury footprint with ongoing developments like the Soneva spa collaboration at The Leela Palace Bengaluru, scheduled for completion in FY 2026.
Schloss Bangalore plans to utilise the net proceeds from its IPO primarily for the repayment, prepayment, or redemption of outstanding borrowings, which includes loans taken by the company and its subsidiaries—Schloss Chanakya, Schloss Chennai, Schloss Udaipur, and TPRPL—through investments in these entities. A portion of the proceeds will also be allocated towards general corporate purposes.
The Schloss Bangalore Limited IPO showcases a healthy market capitalization of ₹10,155.36 crores. Key performance indicators reflect the company's financial health, with a Return on Net Worth (RoNW) of 1.32%, while the Price-to-Book Value (P/BV) is seen at 2.92. A comparison of earnings per share (EPS) reveals a pre-IPO EPS of ₹2.71 while it is ₹2.04 post-IPO.
| Period Ended | March 31, 2025 | March 31, 2024 | March 31, 2023 |
| Assets | 8,266.16 | 7,061.88 | 5,875.54 |
| Revenue | 1,406.56 | 1,226.50 | 903.27 |
| Profit After Tax | 47.66 | -2.13 | -61.68 |
| Net Worth | 3,604.99 | -2,825.72 | -2,511.96 |
| Reserves & Surplus | 3,280.43 | -2,906.20 | -2,582.80 |
| Total Borrowing | 3,908.75 | 4,242.18 | 3,696.18 |
Amount in ₹ crores
Leela Hotels stands out as a leading luxury hospitality brand with a rich heritage, global recognition, and consistent top rankings among international hotel chains. Backed by Brookfield Asset Management, the company benefits from strong financial stability and strategic support. Its owned portfolio of marquee properties in high-barrier markets like Delhi, Bengaluru, and Chennai offers both location advantage and pricing power. The brand operates a comprehensive luxury ecosystem, including 72 restaurants and cafes, with a diversified revenue mix from both international and domestic travelers.
The company has shown strong operational performance, with RevPAR growing at a CAGR of 11.8%, outperforming industry benchmarks. In FY25, its average room rate (ARR) was ₹22,545—1.4x the industry average. Leela also recorded a 42.4% increase in total keys since FY19 and has expanded from 8 to 13 hotels across major Indian cities. Its asset-light strategy, efficient cost management, and improving EBITDA margins further reinforce its reputation as one of the fastest-growing brands in India's luxury hospitality space.
Despite its strengths, the company faces high revenue concentration, with over 90% of income derived from just five owned hotels. Any disruption in these locations could significantly impact financial performance. It also carries substantial debt, with borrowings of ₹3,908.7 crores as of FY25. Servicing this debt puts pressure on cash flows, especially as finance costs accounted for 32.57% of total income in FY25. The company and some of its subsidiaries have recorded losses and negative net cash flows in recent years, raising concerns about long-term financial sustainability.
Leela Hotels is also exposed to risks associated with renovations and the construction of new properties, including potential delays and cost overruns. The luxury hospitality sector itself is highly competitive and sensitive to economic cycles, geopolitical events, and changing travel trends. Moreover, the success of its IPO pricing is uncertain, and there's no guarantee that the post-listing share price will reflect the offer price, which may expose investors to short-term losses. The brand’s reliance on its reputation also means any dent in perception could have an outsized impact on its business and growth trajectory.
The Schloss Bangalore Limited IPO presents a compelling chance for investors to gain early exposure to the luxury hospitality sector. As the company makes its public market debut, it opens the door to potential long-term value creation in a high-growth industry.
However, before investing, it’s important to evaluate the company’s fundamentals, market positioning, and future prospects. Careful research and alignment with one’s financial goals and risk appetite are essential to turn this opportunity into a well-informed and strategic investment decision.
What is the Schloss Bangalore IPO?
The Schloss Bangalore Limited IPO is a main-board offering consisting of a fresh issue of 5.75 crore equity shares and an offer for sale of 2.30 crore shares with a face value of ₹10 per share, aiming to raise a total of ₹3,500 crores. The share price is set between ₹413 and ₹435, with a minimum order quantity of 34 shares. This IPO will be open for subscription from May 26, 2025, to May 28, 2025. Kfin Technologies Limited is the registrar while Jm Financial Limited, Bofa Securities India Limited, Morgan Stanley India Company Pvt Ltd, J.P. Morgan India Private Limited, Kotak Mahindra Capital Company Limited, Axis Capital Limited, Citigroup Global Markets India Private Limited, Iifl Securities Ltd, Motilal Oswal Investment Advisors Limited, SBI Capital Markets Limited are the book-running lead managers.
When will the Schloss Bangalore IPO open?
The Schloss Bangalore Limited IPO will open for subscription on May 26, 2025, and will close on May 28, 2025.
When is the Schloss Bangalore IPO listing date?
The tentative listing date for the Schloss Bangalore Limited IPO is Monday, June 2, 2025.
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