China’s Louvre Hotels Group, which acquired a majority stake in Sarovar Hotels for around $50 million, is looking at more acquisitions in India in the mid-market space and is in talks with several hotel chains.
“The company will also plans to double the number of Golden Tulip hotelsBSE 4.50 % in the country in the next three years and will launch eight to ten new hotels this year, said Vimal Singh, MD, Golden Tulip Hotels and Resorts South East Asia.
“Acquisitions are in line with our strategy to grow in India. We continue to look at acquisitions. We are also in discussions to bring our brand Campanile to India,” Singh said.
Golden Tulip Hotels and Resorts is a part of the international hospitality chain Louvre Hotels Group, a part of Shanghai-based Jin Jiang International Holdings. The chain operates through its budget brand Tulip Inn, four-star brand of Golden Tulip and luxury brand Royal Tulip.
In January this year, Louvre announced the acquisition of a majority stake in Sarovar Hotels for an estimated $ 50 million beating Wyndham Hotel Group in the race. The chain operates around 1,233 hotels in 54 countries.
Singh said the company will focus on its budget brand Tulip Inn and will expand primarily in the East and South. New hotels will be launched in cities like Bengaluru, Chennai, and Hyderabad.
“Indonesia, Japan, and Korea are big growth markets for us. In India, we have been seeing occupancy rates in the high 60s while the room rates have been relatively flat. We witnessed a little dip post demonetization but things are slowly getting better,” said Singh.
Louvre Hotels was founded in 1976 by the Taittinger Family as a French business and was acquired by Jin Jiang in February 2015.It entered the Indian subcontinent in 2007.
Source: Economic Times