HBI Staff | Hyderabad 
The demerger of ITC Hotels from its parent company, ITC Limited, marks a significant milestone in the Indian hospitality industry. As ITC Hotels gears up to list as a standalone entity on the Indian stock exchanges, industry stakeholders are keenly watching its progress, particularly the listing date and the anticipated market valuation.
On January 1, ITC Hotels officially became a standalone company following its demerger from ITC Limited. This strategic move aligns with ITC’s vision to unlock value for shareholders while allowing ITC Hotels to focus on growth and innovation in the competitive hospitality sector. Applications for listing have already been filed with the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE), and approval is awaited.
According to reports from NDTV Profit, ITC Hotels is expected to debut on the stock market on January 29, 2025. This date, if accurate, places the listing just ahead of the Union Budget announcement on February 1, further amplifying market interest.
Brokerage firm Nuvama Research has projected that ITC Hotels’ shares may list at approximately ₹200 per share, giving the company an estimated market capitalization of ₹42,000 crore. This valuation accounts for a potential 20% holding company discount, as ITC retains a stake in the demerged entity.
A special trading session held on January 6 provided an adjusted price for ITC Limited shares, reflecting the demerger. Industry analysts believe this session offered an early indication of ITC Hotels’ market positioning as it prepares to compete as an independent entity.
Adding to its debut excitement, ITC Hotels has been included as the 51st company in the Nifty 50 and the 31st in the BSE Sensex. While shares are currently frozen in Demat accounts under a dummy ticker, this inclusion underscores the market’s confidence in ITC Hotels’ potential.
Under the demerger arrangement, ITC shareholders received one share of ITC Hotels for every ten ITC Limited shares held. With over 125 crore shares credited to eligible shareholders, this move has paved the way for ITC Hotels to establish itself as a significant player in the hospitality industry.
The listing of ITC Hotels as an independent entity is a pivotal moment for the Indian hospitality sector. With its rich portfolio of luxury, premium, and mid-market properties, ITC Hotels is poised to capitalize on the increasing demand for experiential travel and sustainability-focused hospitality offerings.
The demerger allows ITC Hotels to sharpen its focus on innovation, expansion, and catering to evolving guest expectations. Additionally, its standalone status opens opportunities for strategic partnerships, investments, and enhanced operational agility, strengthening its position in India’s competitive hospitality landscape.
Industry Outlook
As ITC Hotels prepares for its stock market debut, industry leaders, investors, and analysts are closely monitoring its valuation and future growth trajectory. Its performance as a standalone entity will likely set a benchmark for other hospitality brands exploring similar strategic moves.
For the hospitality industry, ITC Hotels’ listing represents more than just a corporate transition—it is a testament to the growing recognition of the sector’s potential in contributing to India’s economic and cultural landscape. The focus now shifts to how ITC Hotels leverages this independence to shape the future of Indian hospitality.
