Leela Luxury Hotels Owner’s India IPO Gets Off to a Tepid Start

The shares of the operator of the India’s Leela luxury hotels made a lackluster debut in Mumbai after having raised money through India’s second-largest initial public offering this year.

Schloss Bangalore Ltd.’s stock, which is owned by Brookfield Asset Management Ltd., closed at 435.55 rupees on Monday, a hair above its initial share sale price of 435 rupees apiece. The IPO raised 35 billion rupees ($409 million), second only to Hexaware Technologies Ltd.’s billion-dollar deal this year in India.

Leela hotels are regularly recognized among the best in the country, and Schloss went public to ride on a ...