''Apeejay Surrendra Park Hotels IPO float to retire debt''

Kolkata, Feb 25 () Apeejay Surrendra Park Hotels,which runs that Park hospitality chain across the country,would mostly use the proceeds of its proposed initial publicoffer (IPO) to retire debt, an official said on Tuesday.

Apeejay Surrendra has already filed the DRHP with thecapital market regulator SEBI which is expected to give itsapproval in March.

"The proceeds of the IPO will be used largely toretire debt and for meeting other regular operating expenses,"Vijay Dewan, MD of Apeejay Surrendra Park Hotels, toldreporters on the sidelines of a CII event here.

He said the debt of the company is around Rs 450crore. "We are expecting the SEBI approval by March", he said.

The DRHP was filed during December end, he said.

On new properties, Dewan said the company is settingup a 200-room hotel in Pune for which construction has alreadystarted.

The Pune hotel will cost around Rs 160 crore and willbe under the Park brand.

Apeejay will also add 100 rooms at Vizag and another80 rooms in Navi Mumbai.

Dewan said the company will gradually move towardsmanaging properties rather than owning them.

The company has also taken over the Danish Tavern atSrirampur from the West Bengal government, he said. dcNN NN