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Indian Hotels Company to acquire Piem Hotels for Rs 51 crore

25 May 2011 Evaluate

Indian Hotels Company has received approval of an investment not exceeding Rs 51 crore for acquiring an incremental equity stake in Piem Hotels, an unlisted associate company of the Indian Hotels Company, either directly or through its wholly-owned subsidiary. The company has received an approval for the same at its board meeting held on May 24, 2011.

With the acquisition of Piem Hotels, it will help the company in consolidating its position in the hospitality business. Also the company together with its wholly-owned subsidiary will hold the majority shareholding of Piem Hotels.

Besides, Indian Hotels Company posted 56.78 percent increase in its standalone net profit at Rs 93.93 crore for the quarter ended March 31, compared to Rs 59.91 crore in the same period of last fiscal. For the full year ended March 31, the company's net profit declined 7.74 percent at Rs 141.25 crore, compared to Rs 153.10 crore in the last fiscal.

Piem Hotels is the business of owning and operating hotels and owns the hotels under 'The Gateway Hotel' brand in Nashik and Agra and hotels under the 'Vivanta by Taj' brand in Pune, Lucknow, Mumbai and Bangalore.

Indian Hotel Share Price

659.55 6.25 (0.96%)
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