IHCL Acquires 55% Stake in Tree of Life Resorts & Hotels

The Indian Hotels Company Limited (IHCL) acquired a 55% stake in Rajscape Hotels Private Limited, which operates the Tree of Life Resorts & Hotels brand.

The transaction is valued at ₹17.66 crore.

Market reaction: Following the announcement, IHCL's shares were trading at ₹766.15 on the NSE, up by ₹10 or 1.3 percent, as of 11:33 am on the day of the announcement.

Context: Tree of Life Resorts & Hotels manages 16 boutique properties across India, specializing in experiential stays at offbeat destinations.

The brand is known for offering immersive experiences that highlight local culture and nature in tranquil settings.

What this means: this acquisition provides IHCL with access to an additional brand and opportunities for asset-light growth in the boutique and experiential stays segment. Rajscape Hotels reported a turnover of ₹23.4 crore for the financial year 2024, showing significant growth from ₹12.4 crore in FY2022.

The deal, which does not fall under related party transactions, has resulted in Rajscape Hotels becoming a subsidiary of IHCL.

Financial Overview

By: Dhan News Team