Brigade Hotel Ventures Ltd IPO

We have entered into hotel operator services agreements and other related agreements with Marriott, Accor and InterContinental Hotels Group to receive operating and marketing services for our hotels. In Fiscal 2025, two of our hotels which are operated by Marriott contributed 43.81% of our revenue from operations. If these agreements are terminated or not renewed, our business, results of operations, financial condition and cash flows may be adversely affected.

A significant portion of our revenues is derived from our four hotels located in Bengaluru (Karnataka) (63.21% of revenue from operations in Fiscal 2025 was from our hotels located in Bengaluru (Karnataka)). Further, we derive a significant portion of our revenues from our hotels Sheraton Grand Bangalore at Brigade Gateway, Holiday Inn Chennai OMR IT Expressway and Holiday Inn Bengaluru Racecourse (62.02% of the revenue from operations was from these hotels in Fiscal 2025). Any adverse developments affecting such hotels or locations could have an adverse effect on our business, financial condition, cash flows and results of operations.

We intend to develop five additional hotels and if we are unable to develop these hotels in a timely manner, our business, results of operations, financial condition and cash flows will be adversely affected.

Our Company has incurred losses (on a consolidated basis) in Fiscal 2023. In the event we incur net loss in the future, our business, results of operations, financial condition and cash flows may be adversely affected.

Our operations entail certain recurring expenses, and our inability to manage expenses may have an adverse effect on our business, results of operations, financial condition and cash flows.

We derive a significant portion of our revenue from food and beverages ("F&B") served at our hotels (32.75% of our revenue from operations was from F&B in Fiscal 2025). Any failure to maintain the quality and hygiene standards of the food and beverages that we offer, will adversely affect our business, results of operations, financial condition and cash flows.

We have a large number of personnel deployed across our hotels, consequently we may be exposed to service related claims and losses or employee disruptions that could have an adverse effect on our reputation, business, results of operations, financial condition and cash flows. The attrition rate of our employees in Fiscal 2025 was 58.19%.

A portion of the Net Proceeds may be utilised for buying of undivided share in the land parcel owned by our Promoter for which we have not entered into definitive agreements. Our Company proposes to construct a hotel on the undivided share of the land parcel, the construction and development of which may face delays and thereby affect our business, results of operations, financial condition and cash flows.

We propose to utilize a portion of the Net Proceeds to undertake acquisitions for which targets have not been identified. Our inability to complete such transactions may adversely affect our competitiveness and growth prospects.

Our Company, Subsidiary, Promoter, Directors and Key Managerial Personnel are involved in certain legal and regulatory proceedings. Any adverse decision in such proceedings may have a material adverse effect on our business, financial condition, cash flows and results of operations.