Wonderla Holidays has proposed an initial public offering of 14,500,000 equity shares of Rs. 10 each for cash at a price to be determined through the book-building process. The Issue will open on 21 April 2014.The Price Band has been fixed between Rs. 115 and Rs. 125 per Equity Share. The minimal Bid Lot is 100 Equity Shares and in multiples of 100 Equity Shares thereafter. The Bid will close on 23 April 2014. The Issue would constitute 25.66 per cent of the fully diluted post Issue paid up equity share capital of the Company.
The company, which runs successful theme parks in Cochin and Bengaluru, is set to open a third park in Hyderabad to its portfolio. The Rs. 160 crores issue has been announced to raise funds for the same. “The Hyderabad project will be designed on the concept as the Bengaluru theme park, and will take two years for completion. We should begin operations by FY 2016-17,” said Kochouseph Chittilapilly, Vice Chairman, Wonderla Holidays.
Arun K. Chittilapilly, Managing Director, Wonderla Holidays further added that the company also manufactures rides for in-house use, and will build a project workshop for maintenance and repairs within the Hyderabad theme park land, as they have done at their other venues.
Speaking about the company’s performance Kochouseph Chittilapilly revealed that Wonderla Holidays generated a turnover of Rs. 140 crores in 2013, 80 per cent of it from ticket sales. When asked about expansion plans, he stated that the company’s focus will remain South India as they have brand recognition there. “If we expand, it may be with a new theme park in Chennai,” he said.
Nandakumar T., VP – Finance, Wonderla Holidays commented that the company’s margin has averaged at 45-48 per cent in the last few years. “The Hyderabad project is expected to generate as much revenue as the Bengaluru establishment as the size and the offerings are the same,” he added.
