Pride Hotels Targets March 2026 IPO to Power Renovation Plans
Pride Hotels is targeting to launch an initial public offering (IPO) by March 2026.
By SOH Edit Team
Hospitality chain Pride Hotels plans to launch its initial public offering (IPO) by March 2026 to fund renovation of existing properties and reduce debt, Chairman & Managing Director Sureshchand Premchand Jain said.
Sureshchand Premchand Jain, Chairman & Managing Director, Pride Hotels.
IPO Structure and Regulatory Status
The Pune-based company filed its draft papers with markets regulator Sebi in October and is awaiting approval. The proposed IPO comprises a fresh equity issue of ₹ 260 crore and an offer for sale (OFS) of 3.92 crore shares by existing shareholders. Of the fresh issue proceeds, ₹ 159.68 crore will be allocated towards modernisation and renovation of hotels, ₹ 40 crore towards debt repayment, and the remainder for general corporate purposes. The renovation programme will be executed over 12–27 months and will cover six of the company’s seven owned hotels located in New Delhi, Ahmedabad, Kolkata, Bengaluru, Pune and Chennai.
Portfolio Overview
Founded nearly four decades ago, Pride Hotels operates under the “Pride Hotels and Resorts” brand. Its portfolio comprises 34 hotels, including seven owned properties and 27 managed hotels.
Chief Executive Officer Satyen Jain said the chain has expanded from 19 hotels in 2019 to 34 currently, with another 32 properties in the pipeline expected to open over the next two to three years. The expansion strategy focuses on business hubs, leisure destinations and pilgrimage centres to strengthen pan-India presence.
Of the pipeline, 21 properties are under development across 19 locations, adding around 1,500 keys. Key upcoming destinations include Aurangabad, Nainital, Amritsar, Alwar, Ayodhya and Palitana.
In addition, Pride Hotels has signed 11 letters of intent with third-party owners, which will add about 841 keys. Growth will largely be driven by an asset-light managed portfolio model, though the company will selectively pursue owned hotel acquisitions with turnaround potential.
Financial Performance
The company reported profit after tax of ₹ 83.5 crore in FY25, up from ₹ 66 crore a year earlier. Revenue increased to ₹ 305.62 crore from ₹ 270 crore.
According to a Horwath Report, India had 209,000 chain-affiliated hotel rooms as of June 30, 2025, with another 118,000 rooms expected by FY30. About 66 per cent of upcoming supply is projected to come from cities beyond the top six metros, a trend likely to intensify competition, particularly in Tier 2 and Tier 3 markets.