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IHCL joins hands with Ambuja Neotia group to expand presence in East India, Real Estate News, ET RealEstate

IHCL joins hands with Ambuja Neotia group to expand presence in East India, Real Estate News, ET RealEstate
NEW DELHI: Tata group firm Indian Hotels Company Ltd (IHCL) on Monday announced expansion in eastern India with the signing of three hotels – two in Kolkata and one in Patna – with the Kolkata-headquartered Ambuja Neotia group.

The company has already partnered with Ambuja Neotia group for two other hotels in the east – one in Darjeeling, and the other in Gangtok. The Darjeeling resort will be opened in the middle of December. The resort in Sikkim will be opened around the end of next year, IHCL said.

These five hotels will culminate to a total of 500 rooms, it added.

“We are very committed to the eastern part of India as we believe that it has tremendous potential. With the announcement today, we are further strengthening our footprint in the region and building on IHCL’s legacy in some of the most commercially and culturally important cities of the East,” IHCL MD and CEO Puneet Chhatwal said.

These signings also cement IHCL’s relationship with the Ambuja Neotia Group, he added.

“The hotels will be on the management contract model, in which we bring the management and expertise to the Ambuja Group and help them in managing these properties….,” Chhatwal said in a virtual press conference.

Revenue from the eastern part of India is little less than 10 per cent of the enterprise revenue at pre-COVID levels, and the company expects it to grow to around 15 per cent of the enterprise level of revenue post-COVID, he added.

“This partnership will give a strong impetus to the development of tourism in the Eastern region,” Ambuja Neotia Group Chairman Harshavardhan Neotia said.

When asked about the investment the group will be making in these properties, he said: “Investment in all these five hotels will be around Rs 800 crore…This will be done partly by internal funding and partly by debt”.

With the addition of these hotels, IHCL will have 23 hotels across its brands in nine states in eastern India.


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