ITIL acquires Gems Tours for Rs 400cr

Mumbai-based Indian Tourism Infrastructure Ltd (ITIL) has taken over city-based Gem Tours & Travels Pvt Ltd for a consideration of Rs 400 crore. Gem Tours will now have 26 per cent stake in ITIL and Jyotin Doshi, chairman of Gem Tours, will join the ITIL board as a member. The buyout would help create a world-class infrastructure at various tourist spots in India, Doshi said.

"India's share is less than 1 per cent in world tourism and a lot needs to be done. In fact, a number of tourist locations rich in natural beauty should be exploited carefully, which have the potential to attract tourists from worldwide," he added.

After Kerala and Goa, now Konkan Coastline has become a hot spot tourist centre for inbound foreign tourists. Gem Tours is acquiring 1,000 acres of land in Mandangadh and 1,400 acres in Sindhudurg, along the Konkan coastline. ITIL plans to establish special economic zones, especially for tourism, at Mandangadh and Sindhudurg. The company proposes to apply for necessary permissions for these proposed SEZs.

In order to provide world-class tourism in India, ITIL will purchase luxury yachts, helicopters and create necessary infrastructure. The company is planning a time share concept for yachts for the first time in India. Besides, it would start 40 hotels across the country and set up a convention centre, which can accommodate 10,000 people at a time.

ITIL plans to recruit 10,000 agents all over India to carry out diverse business interest like packaged tours, air tickets, time share vacations, real estate, chain of hotels across the country, chartering of private jets, helicopters, cruise sailing, and yacht hiring.

It is also planning to enter the enter the capital market soon.