ITC Hotels Debuts on Stock Market at 30% Below Implied Value

The demerged hospitality arm of ITC Ltd opened at ₹180 on NSE, with shares declining further post-listing.

ITC Hotels shares were listed at ₹180 on the NSE and ₹188 on the BSE, marking a 30-31% discount from the implied price of ₹260-270 per share.
The listing follows the demerger of ITC Hotels from ITC Ltd, effective January 1, 2025, with ITC retaining a 40% stake and distributing the remaining 60% among its shareholders.
The share allotment ratio was set at 1:10, granting one ITC Hotels share for every 10 ITC Ltd shares held by shareholders as of January 6.
Post-listing, ITC Hotels' shares saw a decline of over 4% on the NSE and 5% on the BSE, with its market cap currently estimated at ₹35,941.82 crore.
ITC Ltd shares also experienced a slight decline, continuing a broader downward trend observed over the past six months.