China’s Lou­vre Ho­tels Eyes More Buys in In­dia

Co to also dou­ble num­ber of its Golden Tulips, launch 8-10 new ho­tels this year

The Economic Times - - Companies: Pursuit Of Profit - Anu­meha.Chaturvedi @times­

New Delhi: China’s Lou­vre Ho­tels Group, which ac­quired a ma­jor­ity stake in Sarovar Ho­tels for $50 mil­lion, is look­ing hun­gry for more buys in In­dia in the mid mar­ket space and is in talks with sev­eral ho­tel chains. The com­pany will also dou­ble the num­ber of Golden Tulip ho­tels in the next three years and launch eight to ten new ho­tels this year, said Vi­mal Singh, man­ag­ing di­rec­tor, 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 added.

Golden Tulip Ho­tels and Re­sorts is a part of the in­ter­na­tional hos­pi­tal­ity chain Lou­vre Ho­tels Group, Europe’s sec­ond-largest hos­pi­tal­ity com­pany and a part of Shang­hai-based Jin Jiang In­ter­na­tional Hold­ings. The chain op­er­ates through its bud­get brand Tulip Inn, four star brand 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 go­ing for­ward 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 de­mon­eti­sa­tion, but things are slowly get­ting bet­ter,” said Singh.

In Jan­uary, Lou­vre an­nounced ac­qui­si­tion of a ma­jor­ity stake in Sarovar Ho­tels for an es­ti­mated $50 mil­lion

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