Cordelia Cruise operator Waterways Leisure Tourism files draft papers for ₹727 crore IPO

Waterways Leisure Tourism that operates business under Cordelia Cruises brand has filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) to launch an initial public offering (IPO).

The IPO will consist entirely a fresh issue of shares up to ₹727 crore with no offer-for-sale component. Hence, the entire issue proceeds will be received by the company.

The proceeds from the fresh issue to the extent of ₹

552.53 crore will be utilised for payment towards deposit and advanced lease rental and monthly lease payments to its step-down subsidiary, Baycruise Shipping and Leasing (IFSC) Private Limited (Baycruise IFSC) and general corporate purposes.

About 75% of the issue is allocated to qualified institutional buyers, 15% to non-institutional and the remaining 10% to retail individual bidders.

The company plans to introduce two new cruise vessels, ‘Norwegian Sky’ and ‘Norwegian Sun’, each with a capacity of up to 2,004 and 1,936 guests, respectively.

In FY24, it accounted for approximately 65% of the market share in value terms, as per a CRISIL report. Its cruise vessel primarily sails to domestic destinations such as Mumbai, Goa, Kochi, Chennai, Lakshadweep, Visakhapatnam, and Puducherry.

It also offers international itineraries, including Hambantota, Trincomalee, and Jaffna (Sri Lanka) and have also sold cruise tickets for its first-time sail to destinations such as Phuket (Thailand), Singapore, Kuala Lumpur and Langkawi (Malaysia).

Waterways Leisure Tourism's revenue from operations stood at ₹442.11 crore in FY24. For the nine months ended December 31, 2024, revenue stood at ₹409.45 crore and profit at ₹139.25 crore.

Centrum Capital, Intensive Fiscal Services and Motilal Oswal Investment Advisors are the book-running lead managers and MUFG Intime India is the registrar of the issue.

The equity shares are proposed to be listed on both the NSE and BSE.