Madhuri Dixit, Amrita Rao invest in Rs 11.5 crore Pre-IPO round of Hive Hostels

Colstay private limited recorded a turnover of Rs 40.73 crore, with a profit after tax of Rs 1.46 crore in FY24.

Colstay Private Limited, the operator of the student co-living accommodation brand Hive Hostels, has raised Rs 11.5 crore through a private placement round, which saw participation of popular celebrities like Madhuri Dixit and Amrita Rao.

According to sources close to the development, the fund raising round saw participation of few other marquee investors as well, including Ankit Mittal and his family office Sixth Sense Ventures Partners, serial venture investor Ritesh Malik, Anmol Sood,  Sahil Vachani- MD and CEO of Max Estates, Rohit Kothari-backed Anchorage Capital Fund among others.

The company issued a little over 1.16 lakh equity shares during the latest private placement round and is planning to apply for an IPO in the second half of next year, sources told Moneycontrol.

“Hive Hostels is gearing up for an IPO next year, aiming to leverage this fresh capital to drive its next phase of expansion,” said the source on conditions of anonymity.

Meanwhile, following the funding round, Dixit will hold a 0.44 percent stake in Hive Hostels, while Ankit Mittal, along with his family office will have a 1.58 percent share in the company.

In terms of the financial performance, the company recorded a turnover of Rs 40.73 crore, with a profit after tax of Rs 1.46 crore in FY24. In comparison, the company reported revenue of Rs 29.5 crore and a PAT of Rs 65 lakh in FY23.

Founded in 2019 by brothers Bharat Aggarwal and Siddharth Aggarwal, Hive Hostels is a student co-living housing brand. After experiencing the challenges of shared living in PG accommodations, the brothers launched Hive Hostels to provide an enhanced, community-driven living environment.

Starting with just 30 beds in a flat in Mumbai’s Vile Parle area, the company has grown to accommodate over 8,000 students and operates more than 2,600 beds across major Indian cities, including Mumbai, Noida, Ahmedabad, Dehradun, and Jaipur.

The company caters to diverse needs with two offerings: Hive, an affordable option, and Aurus, a premium luxury housing segment.

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