Schloss Bangalore Limited IPO: 10 Key Things to Know Before Investing

Schloss Bangalore Limited owns and manages 12 luxury hotels and resorts under “The Leela” brand, with a total of 3,382 keys. These hotels are located in top Indian destinations such as Bengaluru, New Delhi, Jaipur, and Udaipur. With 67 restaurants and 12 wellness centers, the company caters to both leisure and business travelers.

Backed by Brookfield-managed funds, The Leela brand is internationally acclaimed, having received over 250 awards since 2021. The company’s strategic focus on premium experiences, efficient asset management, and year-round demand across MICE, F&B, wellness, and room segments makes Schloss Bangalore Limited a notable name in luxury hospitality.
 

Here are the key details of the IPO:

• IPO dates: May 26th – 28th, 2025
• Listing date: June 2nd, 2025
• Price band: ₹413–₹435 per share
• Total issue size: ₹3,500 Cr
• Face value: ₹10 per share
• Listing Exchange: BSE, NSE
• Lot Size: 34 Shares
• Promoters: Project Ballet Bangalore Holdings (DIFC) Pvt Ltd, BSREP III Joy (Two) Holdings (DIFC) Ltd, and others under the Project Ballet group.

The minimum investment required to apply for the Schloss Bangalore Limited IPO is ₹14,042, based on the lot size of 34 shares at the lower price band of ₹413 per share. However, to increase your chances of allotment, applying at the upper price band is advised, which would require ₹14,790 (34 shares at ₹435 per share).

Established in 2019, Schloss Bangalore Limited is a leading luxury hospitality company operating under "The Leela" brand.
 

• Services: Luxury accommodations, fine dining, wellness, banqueting, and MICE offerings.
• Operations: Owns, operates, and manages 12 high-end properties with a focus on iconic Indian destinations.
• Clientele: Targets high-end domestic and international travelers, as well as corporate clients.
   

Its properties are known for a blend of Indian architectural design and world-class luxury, catering to premium guests.

The primary objectives of the Schloss Bangalore Limited IPO are:

• Repayment/prepayment/redemption (full or part) of certain borrowings, interest, and penalties through investments in subsidiaries like Schloss Chanakya, Chennai, Udaipur, and TPRPL.
• Funding general corporate purposes to support future expansion and operations.

The IPO allocation is generally structured as follows (exact breakup not disclosed):

• QIB Shares Offered (QIBs): Not less than 75% of the Issue
• Retail Shares Offered: Not more than 10% of the Issue
• NII (HNI) Shares Offered: Not more than 15% of the Issue

Strengths:

• Globally recognized “The Leela” brand with over 250 awards since 2021.
• High entry barrier properties in prime Indian cities, leading to strong pricing power.
• Comprehensive luxury ecosystem across rooms, F&B, wellness, and MICE.
• Strong operational efficiency and high RevPAR (Revenue per Available Room).
• Significant investment in enhancing guest experience and property upgrades.
   

Risks:
 

• Over 90% of revenue comes from just five hotels, making performance region-sensitive.
• High dependence on brand reputation—any deterioration could impact business.
• History of negative cash flows and large debt burden of ₹3,908.74 Cr as of March 2025.
• Finance costs account for 32.57% of total income in FY25, reducing flexibility.

The company has shown consistent growth in revenue with a return to profitability in FY25 (INR Cr):

• Basis of allotment: May 29, 2025
• Refund initiation: May 30, 2025
• Shares credited to demat accounts: May 30, 2025
• Listing date: June 2, 2025

Schloss Bangalore Limited presents an exciting opportunity in India’s luxury hospitality space. With a trusted brand like The Leela, premium assets, and diversified income from various hospitality services, the company stands out. However, investors must factor in high debt levels, dependency on limited properties, and sensitivity to macroeconomic conditions.
 

If you’re seeking long-term exposure to India’s growing premium travel and leisure segment, this IPO could be worth a closer look—provided you’re comfortable with the associated risks.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. Please consult your financial advisor before investing.