IHCL Buys Into Clarks Hotels: What CEO Told Analysts About the Deal

In its biggest push yet into India’s mid-market hotel segment, Taj-parent Indian Hotels Company Ltd. (IHCL) announced acquiring a controlling 51% stake in ANK Hotels and Pride Hospitality, which together operate 135 hotels under The Clarks Hotels and Resorts. IHCL also signed a marketing and distribution agreement with Brij Hospitality, a boutique chain with heritage and leisure properties.

CFO Ankur Dalwani said the total investment is over INR 2 billion ($23 million), split between INR 1.1 billion ($12.5 million) for ANK and INR 940 million ($10.5 million) for Pride. About 80% of the funds will go directly into the companies to pay for upgrades, renovations, and shifting some hotels from management contracts to revenue-share models.

The current owners will keep 49% and continue running the companies, with IHCL providing management oversight. IHCl said it expects the deal to close before fiscal 2027.

The acquisitions w