In a significant move, Prestige Estates has decided to shelve its plans for an initial public offering (IPO) of its hotel business due to uncertain market conditions and strategic considerations. The decision comes after the company had previously filed a Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (Sebi) in April last year, aiming to raise up to ₹2,700 crore through the public issue.

Background

The hospitality arm of Prestige Estates, Prestige Hospitality Ventures Ltd (PHVL), had been preparing for the IPO, but a recent regulatory filing revealed that the board of directors opted to withdraw the DRHP. The company stated that this decision was made in light of the current market uncertainties.