IHCL and Ambuja Neotia Group Consider Joint Investments Beyond West Bengal

Indian Hotels Company Limited (IHCL) and Ambuja Neotia Group are considering expanding their partnership beyond management contracts to include joint investments in hospitality projects. This potential expansion reflects a strengthening of their current relationship, with IHCL already managing six properties for Ambuja Neotia and planning 7-8 more across various locations.

In July, IHCL announced plans to develop 15 additional hotels with Ambuja Neotia over the next three years. Puneet Chhatwal, IHCL's Managing Director and CEO, expressed interest in joint investment opportunities with Ambuja Neotia Group. Although West Bengal has been the group's traditional focus, they are now open to exploring projects in neighbouring regions.

Focus on Expansion Beyond West Bengal

Harshvardhan Neotia, Chairman of Ambuja Neotia Group, mentioned that any co-investment would likely target areas outside West Bengal. "We already have so many properties in Bengal, I don't need a partner here," he stated. The group currently has around 11 or 12 properties either operational or under construction within the state.

Despite no ongoing discussions, the group is open to future opportunities. Neotia highlighted the importance of cautious expansion due to their limited experience outside West Bengal. "We are willing to go, and partnering would help us leverage IHCL's experience and infrastructure," he added.

Rejuvenation of Taj Ganga Kutir Resort & Spa

The partnership's strengthening aligns with the reopening of the Taj Ganga Kutir Resort & Spa at Raichak under the Taj brand. Ambuja Neotia has invested Rs 300 crore in rejuvenating this property and plans an additional Rs 50 crore investment, marking it as their largest single hospitality asset investment.

Additionally, both partners are considering introducing a hi-tech boat service. This service aims to transport guests from Kolkata to Raichak via the Hooghly river, enhancing travel comfort and reducing journey time by nearly half.

Positive Outlook for Hospitality Sector

Puneet Chhatwal noted that the second half of the current fiscal year is expected to be very strong for India's hospitality sector. This optimism comes as both companies explore new avenues for collaboration and growth in the industry.

With inputs from PTI