Samhi Hotels Share Price Gains About 10% After GIC’s Strategic Tie-Up

Samhi Hotels’ shares rose by approximately 10% on April 24, 2025, after announcing a strategic partnership with GIC, a leading global institutional investor. The deal involves a ₹752 crore investment from GIC for a 35% stake in Samhi’s key luxury hotel subsidiaries.

Details of the GIC Investment and Asset Valuation

The deal includes Courtyard & Fairfield by Marriott in Bengaluru ORR, Hyatt Regency in Pune, and Trinity Hotel in Bengaluru Whitefield — to be rebranded as Westin and Tribute Portfolio. These assets, valued at ₹2,200 crore collectively, are housed within three subsidiaries where GIC will acquire a significant minority stake.

Use of Funds and Debt Reduction Strategy

Of the total ₹752 crore investment, ₹603 crore will be used to repay existing debt and cover transaction-related costs. The remaining funds will support capital expenditures, including the development of the dual-branded Westin and Tribute Portfolio project in Whitefield, Bengaluru.

Financial Impact on Samhi Hotels

The transaction is expected to reduce Samhi’s debt by over ₹580 crore. As a result, the company projects a 15–20% boost in profitability and anticipates its net debt-to-EBITDA ratio improving from 4.9x to 3.5x, and further to 3x within a year.

Transaction Structure Breakdown

The investment includes ₹376 crore in SAMHI JV Hotels Pvt. Ltd. (Courtyard & Fairfield), ₹227 crore in Ascent Hotels Pvt. Ltd. (Hyatt Regency, Pune), and ₹149 crore in Innmar Tourism & Hotels Pvt. Ltd. (Trinity, Bengaluru). Post-transaction, Samhi will retain a 65% controlling stake in each of the three entities.

Future Outlook and CEO’s Statement

CEO Ashish Jakhanwala said, “We are pleased to announce this transformational partnership with GIC. We have a strong track record in the hotel sector in India, and GIC brings unparalleled institutional capabilities for us to benefit from. In addition to helping us strengthen our balance sheet, this partnership gives us tremendous firepower to grow our portfolio.” 

Read More: SAMHI Hotels To Sell 100% Stake in Duet India Hotels

Share Price Performance

As of 12:34 PM, the share price of Samhi Hotels was trading higher by 10% at ₹191.70 per share on NSE. So far in the month of April, the share price of Samhi Hotels has gained about 28%. 

Conclusion

This strategic alliance marks a significant milestone for Samhi Hotels, paving the way for reduced leverage and higher profitability. With the ₹752 crore infusion, the company not only enhances its financial health but also continues investing in premium hospitality projects. Supported by a strong institutional partner like GIC, Samhi is well-positioned for long-term, sustainable growth in India’s expanding hotel sector.

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