Indian Hotels to invest Rs440 crore in next three years: Cyrus Mistry
- Livemint" target="_blank">Livemint
- August 28, 2014
Mumbai: Tata group’s The Indian Hotels Co. Ltd (IHCL), which runs the Taj Group of Hotels, will add 30 hotels with 3,700 rooms and has committed Rs440 crore for the next three years, according to Cyrus P. Mistry, chairman of the company.
Addressing shareholders at the 113th annual general meeting, Mistry said the hospitality sector is still facing a challenging environment and due to significant increase in supply in the coming years the pressure will increase further.
On Wednesday, he said the company has raised Rs1,000 crore through a rights issue and the proceeds will be used for retiring debt and for capital expenditure.
Mistry said the whole-time directors of the company will forego their commission for the year.
The hotel operator has Rs3,956 crore in debt as on 31 March.
Taj Group of Hotels has 125 hotels in 63 locations.
The shares of IHCL gained 2.37% to Rs92.90 on Wednesday on BSE, while the benchmark Sensex gained 0.44% to 26,560.15 points.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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