Jobaaj Stories
Samhi Hotels Ltd. witnessed a nearly 7% surge in its share price on April 24, reaching Rs 185.80, following the announcement of a strategic partnership with Singapore’s sovereign wealth fund GIC. Under the deal, GIC will acquire a 35% stake in three of Samhi’s subsidiaries, which own and operate luxury hotels in Bengaluru and Pune. The total investment amounts to approximately Rs 752 crore.
The transaction is structured as follows:
-
SAMHI JV Hotels Pvt. Ltd.: GIC will invest Rs 376 crore for a combination of primary infusion and secondary sale of shares. The funds will be used to repay debt at SAMHI JV and SAMHI group entities.
-
Ascent Hotels Pvt. Ltd.: GIC will invest nearly Rs 227 crore via primary infusion. The funds will be used for repayment of SAMHI shareholder loans.
-
Innmar Tourism & Hotels Pvt. Ltd.: GIC will invest around Rs 149 crore via primary infusion. The funds will be used for pending capital expenditure of Westin/Tribute Portfolio Bengaluru Whitefield.
Upon closing the deal, Samhi expects its debt to be reduced by approximately Rs 580 crore, leading to a positive impact of 15–20% on net profit. Additionally, the company anticipates an improvement in its net debt to EBITDA ratio from 4.9x to 3.5x, with further improvement to 3x within the next 12 months.
Samhi's CEO, Ashish Jakhanwala, expressed confidence in the partnership, stating that both Samhi and GIC are committed to growing the venture to about $300 million. He further mentioned that the deal is subject to shareholder approval and is expected to be completed by June-end 2025.
Disclaimer
The information provided in this article is based on publicly available sources and is for informational purposes only. Jobaaj.com does not provide investment advice. Readers are encouraged to conduct their own research and consult with certified financial advisors before making any investment decisions.
