Chalet Hotels expand footprint by acquiring Novotel, Pune

Chalet Hotels has entered into a Share Purchase Agreement (SPA) for the purchase of Belaire Hotels Private Limited (BHPL), owner of Novotel Pune Nagar Road Hotel to expand its portfolio by entering into new geographies.

The aggregate enterprise value of the said transaction is valued approximately Rs 290 crore. The completion of the transaction is subject to fulfillment of certain conditions precedent as agreed in the SPA.

Novotel Pune Nagar Road Hotel currently caters to the business traveller demand and has the capacity to add another 84 to 88 rooms.

The Company’s hotel platform comprises of five operating hotels and a hotel with a co-located serviced residence. Chalet Hotels’ asset is currently branded with global partners like JW Marriott, Westin, Marriott, Marriott Executive Apartments, Renaissance and Four Points by Sheraton, which is part of the Marriott Group.

The geographical revenue mix of Chalet Hotels as on H1FY20 comprises of Mumbai Metropolitan Region- 62 per cent, Bengaluru- 19 per cent and Hyderabad- 19 per cent.

Today, the stock opened at Rs 350, up by 2 per cent from its previous close of Rs 344.35 on BSE.