MUMBAI Kamat Hotels India Ltd. has merged its restaurant business, Kamat Restaurants, and its Lotus Resorts units in Murud and Goa with itself.
The KHIL board has approved, in principle the amalgamation of Kamat Restaurants, the 48-key Lotus Resort Murud and the 52-key Lotus Resort Goa into KHIL.
“This is a major step to align all Kamat group properties by bringing in the most profitable hotels like Lotus Goa and Murud into KHIL,” says executive Vithal Kamat. “The few remaining promoter properties are in various stages of renovations and are in companies which have inherited debt components and not having immediate EPS accretion to KHIL. At an opportune time, the remaining promoter-owned units will merge into KHIL, thus aligning all promoter interests into KHIL.”
While the restaurant business is run by Kamats Restaurants Pvt. Ltd., Lotus Resorts in Murud and Goa are operated by Kamat Holiday Resorts Pvt. Ltd. and Kamats Holiday Resorts (Silvassa) Ltd., respectively. The 25-year-old KHIL has four established hotel brands: The Orchid, an Ecotel Hotel, in the 5-star segment; the 4-star VITS Luxury Business Hotel; Gadh Hotels; and Lotus Resorts.
The amalgamation will be done on the basis of valuation by an independent assessor, subject to compliance with regulatory requirements and approval of the competent court.