Apeejay Surrendra Park Hotels IPO: Should You Invest Today?

The Apeejay Surrendra Park Hotels (ASPH) IPO hits the market today, February 5th, 2024, offering a chance to invest in a well-established hospitality chain. But before you jump in, here's a breakdown of key details to help you decide:

IPO Details:

• Issue Price: ₹147 - ₹155 per share
• Issue Size: ₹920 Crore (Fresh Issue: ₹600 Crore, Offer for Sale: ₹320 Crore)
• Subscription Dates: February 5th - 7th, 2024
• Allotment Date: February 8th, 2024
• Listing Date: February 12th, 2024

Grey Market Premium (GMP):

As of today, the GMP for ASPH is around ₹31, indicating a potential listing price at the upper end of the band (₹186). However, remember that GMP is unofficial and can be volatile.

Financials & Review:

• ASPH operates 19 hotels across India under "The Park" brand.
• They have witnessed strong revenue growth in recent years, but profitability remains moderate.
• Analysts have mixed reviews, with some highlighting concerns about high debt and competition.

Subscription Status:

Currently, the subscription status is unavailable as the issue just opened. Keep an eye on financial news websites and your broker platform for updates.

Should You Buy?

The decision ultimately depends on your investment goals and risk tolerance. Here are some factors to consider:

• Growth Potential: The Indian hospitality sector is expected to grow, benefitting ASPH.
• Financial Strength: The company's debt levels raise concerns, and profitability needs improvement.
• Valuation: Compared to peers, ASPH's valuation might be on the higher side.

Further Research:

• Consult research reports and financial news for in-depth analysis.
• Understand your risk tolerance and investment goals.
• Don't base your decision solely on GMP or social media hype.

Disclaimer: This blog is for informational purposes only and should not be considered financial advice. Please consult a qualified financial advisor before making any investment decisions.

Additional Points:

• Remember, the IPO market is dynamic, and information can change quickly. Stay updated with the latest developments before investing.
• Consider diversifying your portfolio to mitigate risk.

I hope this blog provides a starting point for your research on the ASPH IPO. Remember, careful due diligence is crucial before investing in any IPO.