Madhusudan Kela's wife bought 37,48,681 shares of this hotel stock; get to know the key triggers for the stock!

Since January 1, 2023, the company's portfolio has danced at an occupancy rate higher than 70 per cent on 60 per cent of all days

In the pulsating rhythm of the Indian stock markets, where gains and losses tango, one player seems to have orchestrated its own symphony of success. As the Saturday sun cast its golden glow on the trading floor, Bank Nifty emerged as the flamboyant lead, waltzing with gains of nearly 0.90 per cent, overshadowing its counterparts in the D-Street drama.

Amidst the market's lively cadence, a name echoed with a unique resonance - Samhi Hotels Ltd. This hospitality maestro not only stayed afloat but pirouetted upward with a 1 per cent gain, adding an intriguing chapter to its market saga.

Samhi Hotels, the virtuoso of branded hotel ownership and asset management in India, has unfurled its banner of success with the third-largest inventory of operational keys in the country. As of March 31, 2023, their portfolio boasts 31 operating hotels, 4,801 keys, and a captivating presence in 14 cities, including the glittering hubs of NCR, Bengaluru, Hyderabad, Chennai, and Pune.

The symphony doesn't stop there; Samhi's hotel portfolio is elegantly categorized into three distinct segments, reminiscent of the harmony in musical notes - Upper Upscale and Upscale, Upper Mid-scale, and Mid-scale.

But the crescendo of curiosity reaches its zenith with an unexpected twist - the emergence of Madhuri Madhusudan Kela, the wife of ace investor Madhusudan Kela, in the December shareholding pattern. A 1.72 per cent stake held by Madhuri Kela paints a picture of confidence, totaling a whopping 37,48,681 shares in the company.

Samhi Hotels, akin to a seasoned conductor leading an orchestra, has been playing a melody of success. Since January 1, 2023, the company's portfolio has danced at an occupancy rate higher than 70 per cent on 60 per cent of all days. Even more impressively, on 25 per cent of days, it soared to an occupancy rate higher than 90 per cent, reflecting a harmonious blend of demand compression and a promising trend for price hikes - a sonnet in the language of business.

In a strategic maneuver, the company has set its sights on achieving a Net Debt-to-EBITDA ratio of less than 3.5x by the end of FY25. The game plan includes a reduction in debt, a more than 100 bps drop in the cost of debt, and a rapid leap towards profits (PAT) and free cash flow to fuel future growth.

Disclaimer: The article is for informational purposes only and not investment advice.