Page 13 - Indian Hotels

Utilisation of new funds key for Indian Hotels

Indian Hotels' plan to raise Rs 1,500 crore to fund capital expenditure, growth plans and for debt repayment has not gone down well with investors. The announcement by the company during market hours led to the stock shedding 3 per cent at close on Monday. Is the market reaction justified? Perhaps not!While the company has not spelt out the details of the utilisation of proceeds, analysts expect it to be mix of capex and debt repayment. Analysts say the company could use half of the proceeds to fund the development of its Mumbai-based Sea Rock property while the other half could be used to retire its consolidated net debt which as on June 30, 2017 stood at Rs 3,100 crore.If this is the way things pan out, earnings will be dilutive over the medium term. Says an analyst at a domestic brokerage, "If the entire proceeds are used to repay debt, it will reduce the company's leverage by half and will be positive, but if the company develops its Sea Rock property which is likely, earnings as .

Tata's Indian Hotels to raise up to Rs 1,500 cr via rights issue

This is subject to the relevant regulatory approvals, IHCL said

Image trademark for Taj Mumbai: Smart or senseless?

Indian hotels took the precaution of protecting goodwill of the hotel as a means of good governance

Indian Hotels pares losses, cuts debt under outgoing chief Rakesh Sarna

Asset sales and capital raising help lower debt, improve debt-equity ratio

Indian Hotels Q4 net dips 54.6%

Standalone revenue from operations of the company rose to Rs 707.03 crore

Tata's independent directors to the rescue: Mistry camp banks on Indian Hotels redux

Supporters of former chairman confident independent directors will take the cue from counterparts in hotel chain

Indian Hotels' independent directors express full confidence in Mistry

They praised the steps taken by Mistry in providing strategic direction and leadership to company; September net narrows to Rs 26.7 cr

Global foray became a drag on IHCL's financials

With recurring losses in the US, aborted China plans and the inability to take Vivanta by Taj and Gateway brands global, IHCL struggled to keep pace with other successful Tata firms

Delhi HC upholds Taj Mansingh auction

The dispute between Indian Hotels and NDMC relates to a 1976 collaboration agreement between the parties

Indian Hotels, Tata Sons dismiss Rakesh Sarna's exit speculation

IHCL is one of the Tata group companies, which Mistry in his letter to Tata Sons board members flagged as 'legacy hotspots'

Taj doesn't have automatic right of renewal: NDMC

Says Indian Hotels has made enough profit on Mansingh property

Indian Hotels against Taj Mansingh auction order

The present dispute arises out of a decision by NDMC to auction Taj Mansingh to the highest bidder

Indian Hotels challenges HC court order on Taj Mansingh auction

The court had declined the company's plea for renewal of licence

Indian Hotels stock unfazed by auction order for Taj Mansingh

Company was seeking a renewal of licence on grounds of the equity investment it had made in the property

Indian Hotels CFO quits 4 days after reappointment

The Taj Group has seen senior-level exits in the past 1-2 years

Indian Hotels' loss widens to Rs 9 cr

The company had posted a net loss of Rs 4.8 cr in the same quarter previous financial year, Indian Hotels said

Indian Hotels to gain from premium segment demand

Despite re-rating, steam still left as price targets are Rs 160-200

Indian Hotels sells Taj Boston for $125 mn

Net sale proceeds will be utilised to retire outstanding debt; Taj Boston's total revenue in 2015-16 dipped 1.15%

Hotels opt for mixed use land development

Escalating land costs make this inevitable, to lessen risk and get financing

Tatas exit Belmond nearly, with another loss

Sells 5.1% stake at $9.57 a share on average; it paid $35 a share to buy into Belmond 7 years ago; now it holds 0.44%