Amusement park operator Wonderla Holidays has closed its Qualified Institutional Placement (QIP), which concluded on December 6, for raising ₹540 crore.

The proceeds will be utilised for the company’s growth and enhance its operational excellence, noted Arun K Chittilappilly, Managing Director, Wonderla.

Elaborating on the expansion plans, Chittilappilly told businessline, “We are planning to open our next park in Chennai next year. We have two more projects in the pipeline and are in discussions with various State governments to explore opportunities for setting up new parks. Our focus includes major markets like Mumbai, Delhi, Kolkata, Ahmedabad, Pune, Chandigarh, and Goa.”

Fund break-up

Of the total amount raised, ₹78 crore will be utilised for general corporate purposes, while the remaining funds will support Wonderla’s business expansion plans.

According to the Indian Association of Amusement Parks and Industries (IAAPI), the Indian amusement park market is projected to grow at a compound annual growth rate (CAGR) of 6.8 per cent, to reach $7.18 billion by 2025.

Highlighting the sector’s potential in tier-1 and tier-2 cities, Chittilappilly commented, “The industry is still in its nascent stages and there is substantial demand. We believe there is significant untapped potential in most large cities, which is why geographical expansion is a key part of our strategy.”

The QIP attracted participation from leading domestic and international investors, including Tata, SBI, Amundi, Morgan Stanley, and ODIN.

Meanwhile, the company’s revenue from operations declined 10 per cent year-on-year (y-o-y) to ₹67.4 crore in Q2FY25, compared to ₹75.2 crore in the same quarter last year. However, profit after tax (PAT) increased 9 per cent to ₹14.7 crore from ₹13.5 crore in the year-ago period. The PAT margin for the quarter stood at 21 per cent.

The shares of Wonderla closed at ₹878.50, down by 2.33 per cent on the BSE.