New Delhi: The initial public offering of Lemon Tree Hotels Ltd was subscribed 16% so far on the first day of share sale on Monday.
As of 12.30pm, the IPO received bids for 20,807,270 shares against the total issue size of 129,835,580 shares, according to NSE data.
With a price band of Rs54-56 per share, the company aims to raise around Rs1,040 crore through the issue. The three-day share sale will close on 28 March.
Analysts said that valuations of Lemon Tree Hotels Ltd are high given it is into risky business, Mint reported.
Read more: Lemon Tree Hotels IPO opens: Analysts say valuations steep
Started in 2002, Lemon Tree Hotels is India’s largest hotel chain in the mid-priced hotel sector and the third-largest overall, on the basis of controlling interest in owned and leased rooms. As of 31 January 2018, it operates 4,697 rooms in 45 hotels (including managed hotels) across 28 cities in India.