Tag: indian hotel company s

New Delhi: Tata Group backed Indian Hotel Company’s board has approved raising of long term funds not exceeding Rs 250 crore by way of secured or unsecured long term financing in one or a combination of external commercial borrowings, foreign currency borrowings, non-convertible debentures, term loans or through any other debt instrument in one or more tranches on Monday.

At a board meeting, the board also authorised a committee to determine and approve the quantum, timing and nature of terms and conditions of the instrument to be issued.

IHCL reported revenue from operations of Rs 344.55 crore for the quarter ended June this year, up from Rs 144 crore in the corresponding period of the last fiscal. On a quarter on quarter basis though, it reported a 44 per cent fall in revenues.

It reported losses of Rs 301.5 crore down from Rs 313 crore in the corresponding period of the previous fiscal year. On a quarter-on-quarter basis, losses were up by 102 per cent.

IHCL said business for the quarter was severely impacted on account of the second wave and the chain witnessed softer revenues due to partial or complete lockdowns in several states of India.

IHCL also stated that its management has secured additional financing for the next 12 months to prevent disruption of the operating cash flows and to enable the group to meet its debts and obligations as they fall due. Its other income for the quarter ended June included Rs 15 crore towards lease rent concessions received from certain properties.

For the year ended March 31, it reported revenue from operations of Rs 1575.16 crore. Its losses for the period were at Rs 796 crore. In June this year, IHCL said its ‘Taj’ brand had been rated as the strongest hotel brand in the world by London-based brand valuation consultancy Brand Finance in its annual ‘Hotels 50 2021’ report. Taj (with a brand value of $ 296 million) received an overall brand strength index score of 89.3 out of 100, with a corresponding AAA rating for customer service, familiarity, consideration and corporate reputation.

The report rated Hilton as the world’s most valuable brand, despite recording a 30 per cent brand value decline to $ 7.6 billion.