InterGlobe Hotels is planning to invest around Rs 700 crore for adding six hotels in India by 2022. At present, the company, which is a joint venture between InterGlobe Enterprises and global hospitality major Accor Hotels, has 19 hotels across the country under ‘ibis’ brand with 3,559 rooms.
JB Singh, President and CEO, InterGlobe Hotels, said, “By 2022 we will have up to 25 hotels in India. We will be adding 6 more hotels in the country. We will be investing around Rs 700 crore for this expansion.”
The new hotels will be coming up at Bengaluru, Mumbai, Thane and Goa.
So far, InterGlobe Hotels has already invested around Rs 2,000 crore in the portfolio of ‘ibis’ hotels.
“In our system of development, we look at almost 200 opportunities in a year where we can invest, but we have our own criteria for investment. We focus on the cities and locations where we want to be present. Secondly, we also follow the strategy of densifying presence in the cities where we are already present,” Singh further stated.
He added, “InterGlobe Hotels will fund the expansion through a mix of debt and equity. Around 50 per cent will be equity and 50 per cent will be debt. There is a huge need for more hotel rooms at the rate the economy is growing. There is a vacuum in the mid-market segment. The opportunity here is enormous.”
