Pride Hotels & Resorts, which has recently filed its DRHP for a public issue, plans to deploy a large part of the funds raised towards the renovation of its existing company-owned assets to drive occupancies and average room rates (ARRs) at some of its older properties.
According to Satyen Jain, CEO of the hotel company, the plan is to infuse around Rs 160 crore into renovations over the next two to three years across existing owned assets of the group.
As per the DRHP, the company proposes to raise Rs 260 crore through the public issue, comprising a mix of fresh issue and offer for sale of equity. Jain said that they are expecting the “SEBI card” soon, following which the issue dates will be finalised in consultation with advisors and bankers.
Speaking to HospitalityBiz India, Jain said that the company has proven examples of how renovations help improve occupancies and ARRs.
“ARRs of our Pune hotel have increased to the tune of Rs 1,500 post renovation,” he said.
The company plans to undertake comprehensive renovation of its Bengaluru, Chennai and Nagpur properties after going public. There are also plans to add 138 more rooms and a banquet hall to the Nagpur property.
In addition to civil works, the company will invest in renewable energy initiatives such as solar power, new-generation chillers and in-house water bottling plants as part of the renovation exercise.
“The goal is to reduce costs and improve margins,” Jain said.
While the hotel company will continue to focus on the upscale and mid-market hospitality segments for growth and expansion, Jain said that Pride Hotels will soon enter the upper-upscale space with a dedicated brand, PrideLux.
“We have already signed our first PrideLux property in Bagodara, Gujarat,” he said.
Sharing future plans, SP Jain, Chairman and Managing Director of the group, said that while Pride Hotels has so far operated properties under owned and management models, it would also explore opportunities in the leased hotel space going forward. He said the group is open to partnerships for operational hotels as well as brownfield projects on a long-term lease basis, where it would consider infusing capital for renovations and final fit-outs. The CMD added that the group would also evaluate strategic acquisitions in the future.
“We have a history of acquisitions in the past,” he said.
The Pride Group currently operates 36 hotels across 32 cities, with a total inventory of over 2,700 rooms. It has 31 properties in the pipeline, which, according to the company, will add another 2,340 rooms over the next couple of years.
“In 2019, we had just 19 hotels. In 2025, we have 67 hotels under operation and development. Our growth has been 270 percent in the last six years. Our turnover has grown from Rs 246 crore in FY2023 to Rs 305 crore in FY2025. EBITDA has increased from Rs 97 crore to Rs 150 crore, and PAT from Rs 37 crore to Rs 83 crore in the last two years,” Jain said while sharing the company’s performance.
“All our hotels are full-service hotels,” he said, adding, “We want to stay focused on the upscale and mid-market space.”
