Indian Hotels shares jump nearly 2% on acquiring majority stakes in ANK Hotels and Pride Hospitality

Shares of Indian Hotels Company Limited (IHCL) rose nearly 2% in opening trade on Tuesday after the Tata Group hospitality firm acquired majority stakes in two hospitality firms—ANK Hotels Private Limited and Pride Hospitality Private Limited. Both transactions are expected to be completed by November 15, 2025.

The owner and operator of the Taj brand of hotels has acquired a 51% stake each in ANK Hotels and Pride Hospitality for a combined amount of up to ₹204 crore. The proposed acquisition of ANK Hotels will add a portfolio of 111 midscale hotels (67 of which are currently in operation) to IHCL’s portfolio, while Pride Hospitality will contribute 24 midscale hotels (13 of which are currently in operation).

Cheering the news, Indian Hotels shares jumped as much as 1.65% to ₹759 on the BSE, while its market capitalisation climbed to ₹1.07 lakh crore. On Monday, the hospitality stock ended 1.65% higher at ₹746.65 on the BSE.

The counter touched its 52-week high of ₹894.15 on December 30, 2024, and a 52-week low of ₹599.45 on August 14, 2024. The hotel stock has delivered a 22% return over the past year, 3.5% over the past six months, and nearly 4% in the past month.

In an exchange filing last night, Indian Hotels announced that its board of directors and a duly constituted committee had approved the acquisition of controlling stakes in ANK Hotels and Pride Hospitality. The release stated that the company has entered into a share subscription and purchase agreement to acquire around a 51% equity stake in ANK Hotels for ₹110 crore.

Similarly, IHCL has signed a share subscription agreement and a shareholders’ agreement to acquire around a 51% equity stake in Pride Hospitality for ₹94 crore.

In addition, the company has entered into a distribution and marketing agreement with Brij Hospitality Private Limited, which has a portfolio of 19 hotels under the Brij brand, primarily across India.

Formed in 1996, ANK Hotels operates and manages properties in India and Sri Lanka under the umbrella of The Clarks Hotels & Resorts, with a turnover of ₹14.32 crore in FY25.

Pride Hospitality, established in 2005, operates and manages 24 midscale hotels under brands, including Clarks Safari, Clarks Collection, and Clarks Resort, and recorded a turnover of ₹18.94 crore in FY25.

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