Hotel development and investment firm SAMHI planning to file revised DRHP

Hotel development and investment company SAMHI is looking to file a revised draft red herring prospectus (DRHP) and has appointed JM Financial and Kotak Mahindra Bank as bankers, people aware of the development told ET.

The Goldman Sachs- and Equity International-backed company had filed a DRHP with the markets regulator in 2019 to raise about Rs 1,900 crore through an initial public offering of shares, but the plan was shelved due to the pandemic.

SAMHI declined to comment. ET’s email query to JM Financial and Kotak Mahindra remained unanswered till as of press time.

SAMHI has more than 4,000 rooms across 27 operating hotels in Delhi, Bengaluru, Hyderabad, Chennai and Pune, as per its website. The company works with hotel chains such as Marriott, InterContinental Hotels Group (IHG) and Hyatt.

SAMHI’s principal shareholders are Equity International (49% stake), Goldman Sachs (29%) and GTI Capital Group (18%).

ET had reported in November 2021 that SAMHI was in talks with distressed assets investor Cerberus Capital to raise Rs 1,000 crore in structured debt. The proceeds would have been used to repay the company’s existing loans. At that time, SAMHI had a consolidated debt of about Rs 2,200 crore.

The company had filed its DRHP with an EBITDA of Rs 109 crore in 2019.

People familiar with the matter said the company has seen strong recovery and believes that almost all its hotels are doing better than in 2019.

SAMHI’s website says it has two hotels under development in Kolkata and Mumbai with a total of 223 keys.

In April 2019, SAMHI had announced that it had undertaken a successful rebranding of 10 IHG hotels to the Holiday Inn Express brand at an investment of Rs 100 crore in markets such as Ahmedabad, Pune, Chennai, Nashik and Bengaluru.