IHCL to merge six subsidiaries
The Indian Hotel Company Ltd (IHCL), which owns the Taj brand of hotels, plans to merge six of its subsidiaries. The board of IHCL is meeting on October 12 to consider the proposal.
Indian Resorts Hotels Ltd, Taj Lands End, Asia Pacific Hotels Ltd, Kuteeram Resorts Ltd, Gateway Hotels and Gateway Resorts Ltd are the subsidiaries to be merged with IHCL. The merger should have a positive impact on shares of IHCL. However, that will depend on the financial position of the subsidiaries.
The company has announced a stock split, which is expected to effect a marginal appreciation. The stock is definitely a good hold, said Mr Pratik Dalal, Research Analyst – Hotels, Emkay Shares and Stocks. The company’s shares traded at Rs 1380.50, up by 21.95 points or 1.62 per cent, on the BSE on Monday.
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