IHCL Invests Rs 100 Crore in ELEL Hotels via Rights Issue

Indian Hotels Company Limited (IHCL) revealed a significant investment exceeding Rs 100 crore into its subsidiary, ELEL Hotels and Investment Limited, acquiring over 2 lakh shares via a rights issue. This strategic move is aligned with IHCL's proposal to develop Taj Bandstand, a substantial project in the hospitality sector.

The Tata Group-controlled IHCL, recognized as the leading hospitality entity in India, had earlier unveiled the ambitious Rs 2,500-crore Taj Bandstand project, strategically located at Bandra. This project will feature 330 rooms and 85 apartments over a two-acre expanse.

According to IHCL's regulatory submission, the company obtained 2,01,659 shares at a face value of Rs 10, priced at Rs 5,000 each, contributing to an aggregate of over Rs 100 crore in ELEL Hotels and Investment Limited. Back in July, IHCL further solidified its investment by acquiring over 3.3 lakh equity shares in ELEL via another rights issue, valued over Rs 165 crore.

(With inputs from agencies.)