Mahindra Holidays reportedly sets price band at Rs 275-325 a share

For its 92.65 lakh shares public offer

Mahindra Holidays & Resorts India has reportedly set a price band of Rs 275-325 a share for its 92.65 lakh shares public offer, representing 11% of the post-issue paid up capital.

The initial public offer (IPO) for Mahindra Holidays & Resorts India, a unit of Mahindra & Mahindra, will remain open between 23 June 2009 and 26 June 2009.

The IPO proceeds will be utilised in expanding current properties and adding five new properties at Kumbalgarh in Rajasthan, Kadambakkam in Tamil Nadu, Binsar in Uttaranchal, Theog in Himachal Pradesh, and Tungi in Maharashtra.

Mahindra Holidays & Resorts had raised nearly Rs 120 crore by selling 2% stake to State Bank of India and 1% stake to Jacob Ballas India Fund in February 2008. The transaction had taken place at Rs 479 a share.

Mahindra Holidays & Resorts India runs the shared vacation home business, Club Mahindra Holidays. India's largest tractor maker by sales Mahindra & Mahindra holds 93.64% in the company.