Saj Hotels Limited IPO Overview

Saj Hotels Limited is launching its IPO as a fixed price issue totaling ₹27.63 crores, offering 42.5 lakh fresh shares. The IPO opens for subscription on September 27, 2024, and will close on October 1, 2024. Allotment is expected to be finalized on October 3, 2024, with a listing on the NSE SME platform scheduled for October 7, 2024. Shares are priced at ₹65 each, requiring a minimum investment of ₹130,000 for retail investors purchasing a lot of 2,000 shares.

For High Net Worth Investors (HNIs), the minimum investment is ₹260,000 for two lots (4,000 shares). The book running lead manager for the Saj Hotels IPO is Corpwis Advisors Private Limited, while Satellite Corporate Services Private Limited serves as the registrar. Nnm Securities will act as the market maker for this issue.

Refer to Saj Hotels IPO RHP for detailed information.

Saj Hotels Limited IPO Important dates

Saj Hotels IPO opens on September 27, 2024, and closes on October 1, 2024.

IPO Open Date Friday, September 27, 2024
IPO Close Date Tuesday, October 1, 2024
Basis of Allotment Thursday, October 3, 2024
Initiation of Refunds Friday, October 4, 2024
Credit of Shares to Demat Friday, October 4, 2024
Listing Date Monday, October 7, 2024
Cut-off time for UPI mandate confirmation 5 PM on October 1, 2024

Saj Hotels Limited Financial Performance

Saj Hotels Limited’s revenue increased by 13.52% and profit after tax (PAT) dropped by -3.11% between the financial year ending with March 31, 2024 and March 31, 2023.

Period Ended 31 Mar 2024 31 Mar 2023 31 Mar 2022 31 Mar 2021
Assets ₹98.08 crores ₹98.93 crores ₹96.26 crores ₹32.86 crores
Revenue ₹14.55 crores ₹12.82 crores ₹12.88 crores ₹8.12 crores
Profit After Tax ₹3.45 crores ₹3.56 crores ₹1.44 crores -₹1.20 crores
Net Worth ₹17.34 crores ₹13.17 crores ₹8.91 crores ₹7.54 crores
Reserves & Surplus ₹77.22 crores ₹83.25 crores ₹79.77 crores ₹17.49 crores
Total Borrowing ₹2.92 crores ₹6.14 crores ₹10.54 crores ₹9.39 crores

Saj Hotels Limited IPO Key Performance Indicator

The market capitalization of Saj Hotels IPO is Rs 104.81 Cr. KPI as of January 31, 2024.

KPI Values
ROE 19.91%
ROCE 26.36%
Debt/Equity 0.17
RoNW 19.91%
P/BV 5.86
PAT Margin (%) 24.23
Pre IPO Post IPO
EPS (Rs)  3 2.32
P/E (x)  21.7 27.98

Saj Hotels Limited IPO Objectives

The Company proposes to utilize the funds which are being raised towards funding the following objects

  1. Capital Expenditure Requirements towards the Expansion of existing resort properties
  2. Funding of working capital requirements of the Company
  3. General Corporate Expenses

Saj Hotels Limited IPO Lot Size

Investors can bid for a minimum of 2000 shares and in multiples thereof. The below table depicts the minimum and maximum investment by retail investors and HNI in terms of shares and amount.

Application Lots Shares Amount
Retail (Min) 1 2000 ₹130,000
Retail (Max) 1 2000 ₹130,000
HNI (Min) 2 4,000 ₹260,000

Saj Hotels Limited IPO Details

IPO Date September 27, 2024 to October 1, 2024
Listing Date [October 7, 2024]
Face Value ₹10 per share
Price ₹65 per share
Lot Size 2000 Shares
Total Issue Size 4,250,000 shares
(aggregating up to ₹27.63 Cr)
Fresh Issue 4,250,000 shares
(aggregating up to ₹27.63 Cr)
Issue Type Fixed Price Issue IPO
Listing At NSE SME
Share holding pre issue 11,875,000
Share holding post issue 16,125,000
Market Maker portion 214,000 shares

Saj Hotels Limited Company Overview and Services

Incorporated in February 1981, Saj Hotels Limited is a prominent player in the hospitality industry, offering a diverse array of services designed to create unforgettable experiences for guests. The company specializes in traditional resort accommodations, villa rentals, and restaurant and bar properties, ensuring comfort and convenience across various destinations.

Saj Hotels owns or leases three resort properties, two of which are directly managed and operated by the company, while one is leased to third parties. These resorts double as versatile event venues, perfectly suited for conferences, weddings, and social gatherings, catering to a wide range of customer needs.

The company has strategically invested 50% in My Own Rooms Dot In Private Limited, further expanding its reach and diversifying its hospitality portfolio. As of May 2024, Saj Hotels employs 144 dedicated professionals across various departments, enhancing service quality and operational efficiency.

Competitive Strengths

  • Breathtaking Views: The resorts are nestled in stunning natural settings, offering awe-inspiring views of majestic mountain ranges, lush valleys, and crystal-clear lakes, fostering a profound connection with nature.
  • Comprehensive Amenities: Saj Hotels features a variety of amenities, including on-site restaurants, luxurious spa services, and wedding facilities. This diverse offering not only enhances guest experiences but also mitigates seasonal fluctuations in occupancy.
  • Experienced Management: The hotel boasts a team of seasoned management professionals who ensure high service standards and operational excellence.
  • Community Engagement: Saj Hotels actively engages with local communities, cultivating mutually beneficial relationships that enhance the overall guest experience and support regional development.

By prioritizing guest satisfaction and leveraging its competitive strengths, Saj Hotels Limited continues to solidify its position as a leading choice for travelers seeking quality hospitality services.

Saj Hotels Limited IPO SWOT Analysis

Strengths:

  1. Established Brand: Saj Hotels has a strong brand presence and reputation in the hospitality industry, attracting both leisure and business travelers.
  2. Diverse Portfolio: The company offers a range of services including hotels, restaurants, and event management, catering to a wide audience.
  3. Prime Locations: Saj Hotels operates in key tourist and business hubs, enhancing visibility and accessibility to potential customers.
  4. Strong Customer Loyalty: The hotel chain has built a loyal customer base through quality service and unique hospitality experiences.

Weaknesses:

  1. Dependence on Tourism: Saj Hotels’ performance is heavily reliant on the tourism sector, making it vulnerable to economic downturns and travel restrictions.
  2. High Operating Costs: The hospitality industry typically has high fixed and variable costs, impacting profitability during low occupancy periods.
  3. Limited Geographic Presence: The company may have limited reach compared to larger hotel chains, which could restrict market share growth.

Opportunities:

  1. Expansion Potential: There is room for expansion into new regions and markets, especially in emerging tourist destinations.
  2. Increasing Travel Demand: With the rise of travel and tourism, especially post-pandemic, Saj Hotels can capitalize on the growing demand for accommodations.
  3. Diversification: The company can explore diversification into related services, such as wellness retreats or eco-friendly accommodations, attracting niche markets.
  4. Digital Marketing: Enhanced online presence and digital marketing strategies can help Saj Hotels reach a broader audience and improve booking rates.

Threats:

  1. Intense Competition: The hospitality industry is highly competitive, with many players vying for market share, which could pressure pricing and margins.
  2. Economic Instability: Economic fluctuations can impact consumer spending on travel and hospitality, affecting occupancy rates.
  3. Regulatory Challenges: The hotel industry is subject to various regulations, including health and safety standards, which could impose additional costs or operational restrictions.
  4. Pandemic Risks: Future health crises or pandemics could lead to travel restrictions, significantly impacting the hospitality sector.

Saj Hotels Limited IPO GMP Details

Saj Hotels  SME IPO last GMP is ₹0, last updated Sep 25th 2024. With the price band of 65.00, Saj Hotels SME IPO’s estimated listing price is ₹65 (cap price + today’s GMP).The expected percentage gain/loss per share is 0.00%.

Stay with us to know the daily price trend of Saj Hotels SME IPO GMP with expected listing price.

GMP Date IPO Price GMP Sub2 Sauda Rate Estimated Listing Price Last Updated
25-09-2024 65.00 ₹0  — ₹65 (0%) 25-Sep-2024
24-09-2024 65.00 ₹0  — ₹65 (0%) 24-Sep-2024
23-09-2024 65.00 ₹0  — ₹65 (0%) 23-Sep-2024
22-09-2024 65.00 ₹0  — ₹ (0%) 22-Sep-2024
21-09-2024 65.00 ₹0  — ₹ (0%) 21-Sep-2024
20-09-2024 ₹0  — ₹ (0%) 20-Sep-2024
19-09-2024 ₹0  — ₹ (0%) 19-Sep-2024

Saj Hotels Limited IPO subscription status 

Saj Hotels IPO subscribed 2.03 times. The public issue subscribed 3.63 times in the retail category, [.] times in QIB, and 0.43 times in the NII category by October 1, 2024.

Investor Category Subscription (times) Shares Offered* Shares bid for Total Amount (Rs Cr.)*
Market Maker 1 2,14,000 2,14,000 1.39
Non-Institutional Buyers*** 0.43 20,18,000 8,66,000 5.63
Retail Investors 3.63 20,18,000 73,22,000 47.59
Total ** 2.03 40,36,001 81,88,000 53.22

Total Application : 3,661

Note:

  • *: “Shares Offered” and “Total Amount” are calculated based on the upper price of the issue price range.

  • **: The portion of anchor investors (or market makers) is not included in the total number of shares offered.

  • ***: Market Maker portion is not included to NII/HNI.

Saj Hotels IPO Subscription Details (times)

Date NII* Retail Total
Day 1
Sep 27, 2024		 0.24 1.11 0.67
Day 2
Sep 30, 2024		 0.25 2.43 1.34
Day 3
Oct 1, 2024		 0.43 3.63 2.03

Saj Hotels Limited IPO Allotment status 

The allotment status of Saj Hotels IPO is expected to be available on October 3, 2024.

Saj Hotels IPO allotment status is not available at this time. Saj Hotels IPO – The allotment status will be available once the basis of allotment is finalized. Please revisit us to check the latest updates for Saj Hotels Limited IPO allotment status.

To check Saj Hotels IPO allotment status, follow the steps below:

  1. Click on the below allotment status check button.
  2. Select Company Name.
  3. Enter your PAN Number, Application Number or DP Client ID (Anyone).
  4. Click on Search.

On securing the allotment, you will receive the credit of equivalent shares in your Demat account.

If you have any concerns or queries about the allotment status, contact Satellite Corporate Services Private Limited either by phone or email. Investors can call on +91-22- 28520461/462 or send an email with all relevant details to service@satellitecorporate.com.

Saj Hotels Limited Contact Details

Saj Hotels Limited
Saj on the Mountains, Survey number 18,
Mahabaleshwar Panchgani Road,
Mahabaleshwar, Satara,� 412806
Phone: 022-62875252
Email: secretarial@sajresort.in
Website: https://www.sajresort.com/

Disclaimer: Investing in Initial Public Offerings (IPOs) involves substantial risk, and financial returns are not guaranteed. The information provided should not be construed as financial or investment advice. Prospective investors are advised to consider their financial situation, investment objectives, and risk tolerance before participating in an IPO. It is recommended to consult with a qualified financial advisor or professional before making any investment decisions. Past performance is not indicative of future results. Investments in IPOs may be subject to market risk, including the potential loss of principal.

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