IHCL to acquire majority stakes in ANK Hotels and Pride Hospitality

New Delhi: Tata Group-owned Indian Hotels Company(IHCL) on Monday said a committee constituted by its board has approved and executed agreements to acquire about 51% stake each in two entities, ANK Hotels and Pride Hospitality, which have a portfolio of 135 hotels operated under 'The Clarks Hotels and Resorts' brand.

The transactions to be executed via cash consideration are expected to be completed by November 15, 2025.

The share subscription and purchase agreements and shareholders' agreements were executed to acquire about 51% equity stake for an amount not exceeding Rs 110 crore in ANK Hotels, and Rs 94 crore in Pride Hospitality, according to a regulatory filing.

"The foregoing companies have a portfolio of 135 hotels which are operated under 'The Clarks Hotels and Resorts', primarily across India, IHCL said.

The country's biggest hospitality player has also signed a distribution and marketing agreement with 'Brij Hospitality', which has a portfolio of 19 hotels under the Brij Brand, primarily across the country.

The transactions (subject to fulfilment of certain condition precedents) aim to address India's heterogenous market landscape and provide deeper geographical penetration across India in the midscale segment while continuing to pursue its asset light growth strategy, IHCL stated in the filing.

The proposed acquisition of 51% stake in ANK Hotels will add a portfolio of 111 midscale hotels (with 67 hotels in operation) to IHCL's portfolio.

Established in 1996, ANK Hotels has its registered office in Lucknow. It has presence in India and Sri Lanka.

Pride Hospitality, established in 2005, has its registered office in Jaipur.