Leela Hotels owner Schloss Bangalore raises ₹1,575 crore from anchor investors ahead of IPO

Schloss Bangalore Ltd, backed by Brookfield Asset Management and owner of the luxury hospitality brand "The Leela" Palaces, Hotels and Resorts, has secured ₹1,575 crore from anchor investors ahead of its ₹3,500-crore initial public offering (IPO). The anchor round, held just days before the IPO opens for public bidding, saw strong interest from leading domestic and global institutional investors.

Also read: Prestige Group to launch Rs 4000 crore IPO for hospitality business 

Key Indian participants included HDFC Mutual Fund, ICICI Prudential Mutual Fund, Nippon India MF, Mirae MF, Invesco MF, and Aditya Birla Sun Life Insurance.

As per the BSE filing, Schloss Bangalore allocated over 36.2 million shares to 47 anchor investors at ₹435 apiece, raising ₹1,575 crore. The public subscription for the IPO is scheduled from May 26 to May 28, with a price band set at ₹413-₹435 per share.

The IPO comprises a fresh equity issue worth ₹2,500 crore and a ₹1,000 crore offer-for-sale by promoter Project Ballet Bangalore Holdings. Proceeds from the fresh issue are earmarked for debt repayment and corporate purposes. As of March 2025, the company’s outstanding borrowings exceeded ₹3,900 crore.

Operating 12 luxury properties across 10 cities with a total of 3,382 rooms, The Leela brand has recorded strong financial growth, with EBITDA rising from ₹87.72 crore in FY22 to ₹600.03 crore in FY24. The IPO is managed by 11 merchant banks including JM Financial, Morgan Stanley, and Kotak Mahindra.