Waterways Leisure Tourism Files for IPO

Waterways Leisure Tourism Limited, operator of the only domestic cruise line in India, “Cordelia Cruises,” has officially filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) to raise Rs 727 crore through an Initial Public Offering (IPO).

Based in Mumbai, Waterways Leisure Tourism is recognised as India’s sole domestic ocean cruise provider as of December 31, 2024 (Source: CRISIL Report). The company offers a luxurious cruise experience rooted in Indian culture, primarily departing from Mumbai and Chennai.

The proposed IPO is a fully fresh issue of shares valued at Rs 10 each, with no offer-for-sale component, and aims to raise Rs 727 crore. Of this, Rs 552.53 crore will be utilised for payments towards deposits, advanced lease rentals, and ongoing lease commitments to its step-down subsidiary, Baycruise Shipping and Leasing (IFSC) Private Limited, as well as for general corporate purposes.

The issue will utilise a book-building process, with at least 75 per cent allocated to qualified institutional investors. Additionally, no more than 15 per cent will be offered to non-institutional bidders, and 10 per cent to retail individual investors.

Currently, Waterways Leisure operates the vessel ‘MV Empress’ under the brand ‘Cordelia Cruises’. Since its inception, over 549,051 guests have embarked on its voyages, covering more than 2,25,079 nautical miles along the Indian coastline and neighbouring islands as of December 2024. The cruise offers a range of cabin options—from interior rooms at approximately ₹25,230 per night to a chairman’s suite at around ₹115,536 per night—subject to dynamic pricing and occupancy levels.

The company intends to expand its fleet by introducing two new ships, ‘Norwegian Sky’ and ‘Norwegian Sun’, with capacities of up to 2,004 and 1,936 guests respectively.

In FY2024, Waterways Leisure commanded roughly 65% of the domestic cruise market in value terms (Source: CRISIL Report). Its itineraries primarily traverse Indian destinations such as Mumbai, Goa, Kochi, Chennai, Lakshadweep, Visakhapatnam, and Puducherry, alongside international routes to Hambantota, Trincomalee, and Jaffna in Sri Lanka. The company has also recently launched sailings to Phuket, Singapore, Kuala Lumpur, and Langkawi.

Guests experience diverse culinary options, including pan-Asian, international, and Indian cuisine, with Jain-friendly choices. Entertainment features live shows inspired by Indian cinema—such as ‘Indian Cinemagic,’ ‘Balle Balle,’ ‘Bollywood Burlesque,’ ‘Razzmatazz,’ and ‘Romance in Bollywood.’ The cruise also provides facilities suitable for all ages, including children’s academies, gaming arcades, spas, retail outlets, casinos, fitness centres, rock-climbing walls, and swimming pools. Furthermore, the company offers tailored arrangements for MICE events and weddings, with comprehensive services covering venues, catering, entertainment, and accommodation.

In FY2024, the company’s revenue from operations was Rs 442.11 crore, with nine-month revenues of Rs 409.45 crore and a profit after tax of Rs 139.25 crore as of December 2024.

Centrum Capital Limited, Intensive Fiscal Services Private Limited, and Motilal Oswal Investment Advisors Limited serve as the lead managers for the issue. MUFG In-Time India Private Limited will act as the registrar. The shares are proposed to be listed on the National Stock Exchange of India Limited and BSE Limited.