SAMHI Hotels Acquires Innmar Tourism and Hotels
Prominent branded hotel ownership and asset management platform, SAMHI Hotels Limited, is pleased to announce that it has successfully executed the Share Purchase Agreement (SPA) for the acquisition of Innmar Tourism and Hotels Private Limited (ITHPL). This acquisition includes an operating hotel with 142 rooms located in Whitefield, Bengaluru, one of India’s most important commercial markets.
Expansion Opportunities in Bengaluru
With this acquisition, SAMHI Hotels further strengthens its market share in Bengaluru, which is the largest and fastest-growing office market in India. The company already owns and operates six hotels with a total of 9,181 rooms across various segments in Bengaluru. In addition to the immediate addition of 142 rooms, SAMHI Hotels plans to expand the complex by adding a second hotel with 200-220 rooms. Once completed, the total inventory of the complex will reach 340-360 rooms in the Upper Upscale and Upscale segment.
Growth Prospects and Portfolio Enhancement
The two hotels in Whitefield, Bengaluru will be managed under Upper Upscale and Upscale brands by a large international operator, whose name is yet to be finalized. SAMHI Hotels’ existing portfolio has exhibited strong performance in the Upper Upscale and Upscale segment. The addition of the 340-360 room complex will significantly contribute to the same-store growth of the company’s portfolio. Once the renovation and proposed expansion are completed, the complex in Whitefield, Bengaluru will become the second “twin hotel complex” owned by SAMHI Hotels, with the first one being the 336-room Courtyard by Marriott and Fairfield by Marriott in Outer Ring Road (ORR), Bengaluru.
Purchase Consideration and Financing
The purchase price for this acquisition is set at Rs 2,050 million Enterprise Value, adjusted for net current assets, including cash and other working capital. Following the transaction, ITHPL will become a wholly owned subsidiary of SAMHI Hotels Ltd. The acquisition is fully funded by the company’s internal accruals, highlighting its strong financial capabilities.
This strategic acquisition not only adds to SAMHI Hotels’ existing portfolio in Bengaluru but also provides opportunities for further growth and expansion in one of India’s key commercial markets. With its commitment to delivering exceptional hospitality experiences, SAMHI Hotels is well-positioned to capitalize on the thriving hospitality industry in India.
