Leela Hotels Share Price Update: Stock ends at ₹433.80 apiece on NSE, 0.28% discount to IPO price

Leela Hotels Share Price Update: Leela Hotels share price made a weak debut on the bourses today. On NSE, Leela Hotels share price opened at ₹406 per share, 6.67% lower than the issue price of ₹435. On BSE, Leela Hotels share price today opened at ₹406.50 apiece, down 6.55% than the issue price.

Leela Hotels share price ended listing day at ₹433.80 on NSE, an 0.28 % discount to the IPO price of ₹435, and at ₹435.55 on BSE, an 0.13% premium.

According to the NSE, the overall volume of shares traded reached 133.47 lakh shares, while on the BSE, it amounted to 7.32 lakh shares. The combined turnover (BSE+NSE) on the first day totaled ₹596.66 crore.

At the closing price today, the company's market capitalization was ₹14,545.54 crore according to the BSE and ₹14,487.09 crore according to the NSE.

The shares of Schloss Bangalore Ltd, which operates the luxury hotel brand “The Leela” in India, have been officially launch on the Indian stock market today following their recent initial public offering (IPO). 

The Leela Hotels IPO opened on May 26 and closed on May 28. The allotment for the IPO was determined on May 29, and the shares are listed today, June 2, 2025, which is a Monday. Shares of Leela Hotels are available for trade on both the BSE and NSE stock exchanges.

Members of the Exchange have been informed that starting Monday, June 2, 2025, the equity shares of Schloss Bangalore Limited are listed and permitted for transaction on the Exchange under the ‘B’ Group of Securities, according to a notice from BSE.

Leela Palaces IPO saw a subscription rate of 4.50 times by the end of the bidding period on Wednesday. The price range for Leela Palaces IPO has been set between ₹413 and ₹435 per share. Schloss Bangalore, renowned for its opulent hotels and resorts branded as "The Leela," had a total of 3,382 rooms across 12 functioning hotels as of May 31, 2024. Its collection consists of The Leela Palaces, The Leela Hotels, and The Leela Resorts, situated in 10 different locations across the country.

Leela Hotels Share Price Live: Key strengths

1. Leading Luxury Hospitality Brand with Rich Heritage and Global Appeal.
2. Marquee Owned Hotels in Markets with High Barriers to Entry.
3. Comprehensive Luxury Ecosystem Resulting in Diversified Revenue Sources.
4. Track Record of Driving Operational Efficiency by the Active Asset Management Approach.

Leela Hotels Share Price Live: IPO valuation

Schloss had originally submitted its IPO application last year to reduce its debt, which amounted to 25.68 billion rupees at the conclusion of fiscal year 2025—a 32% decrease compared to the previous year. In contrast, the liabilities for Indian Hotels and EIH Associated Hotels at the end of fiscal year 2025 were recorded at 19.04 billion rupees and 1.10 billion rupees, respectively.

"The reduced interest is understandable due to investor worries about the IPO's valuation, the company’s considerable debt even after recent decreases, and operational difficulties like occupancy rates falling short of industry norms," noted Prashanth Tapse, senior vice president (research) at Mehta Equities.

Leela Hotels Share Price Live: Segment Attributes

The hotel segments are distinct in their offerings and value proposition. Luxury hospitality segment hotels have high quality amenities with best-in-class services and are typically characterized by multiple banquets, restaurants and meeting rooms depending on the target segment.

Leela Hotels Share Price Live: Post listing view

According to Satish Chandra Aluri, Lemonn Markets Desk, Leela Hotels share price listed at a 6.6% discount, reflecting subdued investor sentiment despite strong institutional interest. Retail and non-institutional participation remained weak, with the retail portion under-subscribed and non-institutional bids only marginally above the threshold. A flat grey market premium ahead of the listing had already signaled muted near-term expectations. Elevated valuations continue to be a concern, weighing on investor confidence.

Leela Hotels Share Price Live: Overview of Indian Hospitality Industry

India’s hospitality industry has an inventory of approximately 3.4 million keys as of March 31, 2024, of which the organized sector, which includes branded, aggregators, and quality independent hotels, represents only approximately 11% or approximately 375,000 keys.

Leela Hotels Share Price Live: List peers 

The company's listed peers are The Indian Hotels Company Ltd, EIH Ltd, Chalet Hotels Ltd, Juniper Hotels Ltd, Ventive Hospitality Ltd, and ITC Hotels Ltd.

Leela Hotels Share Price Live: Key Risks 

-Any deterioration in the quality or reputation of the “The Leela” brand could have an adverse effect on their business, financial condition and results of operations.

-A major share of their income (93.46% in FY25, 93.77% in FY24, and 91.13% in FY23) comes from their five owned hotels, so any negative impact on these properties or their locations could adversely affect their business and financial performance.

-They have high debt, with borrowings of ₹39,087.46 million as of March 31, 2025, and finance costs forming 32.57% of their total income in FY25. This limits their financial flexibility, and future growth may require more funding, which may not be easily available or affordable.

Leela Hotels Share Price Live: IPO subscription status 

Leela Hotels IPO subscription status at 4.50 times by the end of bidding on Wednesday. The allocation for Qualified Institutional Buyers (QIBs) was subscribed 7.46 times, while the segment for non-institutional investors received a subscription of 1.02 times. The share category for Retail Individual Investors (RIIs) achieved an 83% subscription rate.

Leela Hotels Share Price Live: IPO Reservation
 

Leela Hotels IPO has reserved not less than 75% of the shares in the public issue for qualified institutional buyers (QIB), not more than 15% for non-institutional Institutional Investors (NII), and not more than 10% of the offer is reserved for retail investors.

Leela Hotels Share Price Live: HOLD it for long-term, says expert

According to Prashanth Tapse, Sr VP Research – Research Analyst at Mehta Equities Ltd, despite weak market sentiment, Leela Hotels’ IPO debuted flat in line with our expectations. It had received decent overall subscription, largely driven by Qualified Institutional Buyers (QIBs). However, demand from Retail and High Net-worth Individuals (HNIs) remained subdued. This lower interest is justified given investor concerns around the IPO’s valuation, the company’s significant debt burden even after recent reductions, and operational challenges such as occupancy rates lagging behind industry averages.

“However, we view the company as a compelling long-term play, aligned with the structural growth in India’s luxury hospitality and tourism sector. We recommend allotted investors to HOLD it for long-term perspective, as the company is well positioned to benefit from improving macro trends in travel and high-end hospitality,” said Tapse.

Leela Hotels Share Price Live: Stock Check

The stock was trading at ₹429.25 per share on NSE, marking a 5.73% increase at 10:32 IST, and at ₹431.40 per share on BSE, showing a 6.13% increase.

Leela Hotels Share Price Live: Post-listing views

Avinash Gorakshakar, Head-Research at Profitmart Securities, believes Leela Hotels shares to be a good long term story but valuations in near term are not cheap so stock opened lower than the IPO price. Investors looking at a time frame of next 2 to 3 years can expect a decent risk reward here.

Leela Hotels Share Price Live: Stock opens with 6.67% discount at ₹406 on NSE

Leela Hotels share price made a weak debut on the bourses today. On NSE, Leela Hotels share price opened at ₹406 per share, 6.67% lower than the issue price of ₹435. On BSE, Leela Hotels share price today opened at ₹406.50 apiece, down 6.55% than the issue price.

Leela Hotels Share Price Live: Here's what Prashanth Tapse says on Leela Hotels IPO listing

As noted by Prashanth Tapse, Sr VP Research – Research Analyst at Mehta Equities Ltd, the IPO of Leela Hotels garnered a reasonable level of subscription despite a lackluster market atmosphere, primarily due to the interest shown by Qualified Institutional Buyers (QIBs). Nonetheless, participation from Retail and High Net-worth Individuals (HNIs) was limited. This reduced interest can be attributed to investor apprehensions regarding the valuation of the IPO, the company’s substantial debt load despite recent reductions, and operational difficulties like occupancy rates falling short of industry standards.

Considering the satisfactory levels of subscription amid a weak market environment, we forecast a flat debut for Schloss Bangalore Ltd (Leela Hotels). However, we perceive the company as an attractive long-term investment, in line with the structural growth expected in India’s luxury hospitality and tourism market. We advise investors who received allocations to HOLD their shares for a long-term perspective, as the company is well-positioned to take advantage of improving macroeconomic trends in travel and upscale hospitality, while those who were not allotted should WAIT & WATCH for a possible post-listing dip to enter at more favourable valuations.

Leela Hotels Share Price Live: Expert views on Leela Hotels IPO listing

Mahesh M Ojha, AVP of Research and Business Development at Hensex Securities Pvt Ltd, stated that the lack of demand and stagnant activity indicate that any potential gains from the listing may be limited. Despite the company's robust revenue growth and strong profit margins, the high valuations allow for little room for immediate growth. After the listing, investors should tread carefully; those interested in long-term investment and confident in the luxury hotel sector's prospects might consider holding their positions, while short-term investors should temper their expectations. It is recommended to avoid pursuing listing gains and instead concentrate on the company's fundamentals before making further investment decisions.

Leela Hotels Share Price Live: Leela Hotels IPO details

The company's IPO, valued at ₹3,500 crore, consists of a fresh issuance of equity shares amounting to ₹2,500 crore and an offer for sale (OFS) of shares totaling ₹1,000 crore from promoter Project Ballet Bangalore Holdings (DIFC) Pvt Ltd.

The firm intends to utilise the proceeds from the fresh issue to settle company and subsidiary loans as well as for various corporate needs.

Leela Hotels Share Price Live: Here's what Leela Hotels IPO GMP today hints ahead of listing

Leela Hotels IPO GMP today is +2. This indicates Leela Hotels share price was trading at a premium of ₹2 in the grey market, according to investorgain.com.

Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of Leela Hotels share price is indicated at ₹437 apiece, which is 0.46% higher than the IPO price of ₹435.

According to the grey market activities over the last 17 sessions, the current GMP ( ₹2) indicates a trend towards the downside. The minimum GMP recorded is ₹0.00, while the maximum GMP is ₹20.00, as noted by experts at investorgain.com.

'Grey market premium' indicates investors' readiness to pay more than the issue price.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.