The IPO of Waterways Leisure Tourism, the company behind Cordelia Cruises, has opened for subscription today and will remain open until June 25.
The company plans to raise ₹585 crore through a fresh issue of 72 lakh shares.
The price band for the IPO has been fixed at ₹769 to ₹808 per share.
Investors interested in the cruise tourism sector are closely watching the issue, but there are both opportunities and risks that need to be considered before investing.
What Is the Latest GMP?
According to grey market trends, the company’s shares were trading at around ₹820, indicating a premium of nearly 1.5% over the upper price band.
However, investors should remember that the Grey Market Premium (GMP) is unofficial and only reflects market sentiment.
The actual listing price can be significantly different from GMP estimates.
Key Dates You Should Know
Here are the important dates related to the IPO:
IPO opens: June 23
IPO closes: June 25
Expected allotment date: June 29
Tentative listing date: July 1
Listing exchanges: NSE and BSE
Centrum Capital is the book-running lead manager for the issue, while MUFG Intime India is handling the registrar responsibilities.
How Will the Company Use the IPO Money?
A large portion of the funds raised will be used for lease-related payments.
Out of the total proceeds, ₹480 crore will be utilized for deposits, lease rentals, and monthly lease payments of Baycruise Shipping and Leasing (IFSC) Private Limited, a subsidiary of the company.
The remaining funds will be used for general corporate purposes.
Company’s Financial Performance Raises Questions
While Waterways Leisure Tourism remains a leading player in India’s cruise tourism market, its recent financial performance has been mixed.
The company’s revenue from operations declined slightly to ₹580 crore in FY26 from ₹597.68 crore in FY25.
More importantly, net profit saw a sharp decline. Profit fell to ₹52 crore in FY26, compared to ₹168.19 crore in FY25, representing a drop of nearly 69%.
This decline may be a concern for investors looking for strong earnings growth.
What Are Experts Saying?
Market experts believe the company operates in a unique segment with no direct listed competitor in India.
This gives it a potential advantage if cruise tourism grows rapidly in the coming years.
According to Deven Choksey Research, the company’s future valuation largely depends on the successful expansion of its cruise fleet and the performance of its upcoming vessel, Norwegian Sky.
However, the brokerage also highlighted several risks that investors should keep in mind.
Major Risks Investors Should Know
Experts have pointed out that the company currently depends heavily on a limited number of vessels. Any operational issue could affect business performance.
Other concerns include:
Dependence on a single vessel until the third quarter of FY27
High fixed charter costs of around $16 million per ship annually
Expansion into a relatively underdeveloped cruise market
Significant IPO proceeds being routed through a related-party lease structure
EBITDA margins falling from 36% to 20% in FY26
Future profitability depending heavily on successful fleet expansion
Should You Consider This IPO?
Waterways Leisure Tourism offers investors an opportunity to participate in India’s growing cruise tourism industry.
The company enjoys a strong brand presence through Cordelia Cruises and has ambitious expansion plans.
However, declining profits, high operational costs, and execution risks make it important for investors to carefully evaluate the business before investing.
As with any IPO, investors should assess both growth potential and risks before making a decision.
