DLF sells Amanresorts to original founder Adrian Zecha for Rs 1,600 cr

BT Online Bureau   New Delhi     Last Updated: December 19, 2012  | 15:45 IST

Realty major DLF has signed an agreement to sell luxury hotel chain Amanresorts to the hospitality property's founder and chairman Adrian Zecha for about $300 million (over Rs 1,600 crore).

Amanresorts has about 25 properties across the world. The sale of the hotels and resorts under the brand, announced on Wednesday, does not include the Delhi property.

"DLF Global Hospitality Ltd (DGHL), 100 per cent step-down subsidiary of DLF, and Adrian Zecha, the founder and Chairman of the Amanresorts Group of luxury resorts, are pleased to announce the signing of a definitive agreement to effect Zecha's Management Buy-Out (MBO) of DGHL's 100 per cent shareholding in Silverlink Resorts Ltd, the holding company for Amanresorts. The value of the MBO is at an enterprise value of approximately $300 million and it does not include the Aman New Delhi property (Lodhi Hotel), which shall be retained by DLF Ltd," the National Capital-based realty major said.

Shares of DLF were trading 1.1 per cent higher in noon trade at Rs 226 on the Bombay Stock Exchange.

DLF has been selling its non-core assets such as hotel plots and IT Parks/SEZs since last couple of years to reduce its debt and also keep focus on real estate business only.

DLF has a debt of Rs 21,200 crore and the company has recently said that it is targeting to reduce it to Rs 18,000 crore by the end of this financial year from sale of two big non-core businesses - Amanresorts and wind energy.

FROM THE MAGAZINE:Debt, not dubious deals, a bigger challenge for DLF

The Amanresorts transaction is slated for final closure by February-end next year that is subject to "usual closing conditions", the statement from the company said.

DLF had put on block for sale of three big-ticket non-core assets, which included a prime 17-acre plot in Mumbai, Amanresorts and its wind-energy business.

It has recently sold the Mumbai plot to Lodha Developers for about Rs 2,700 crore.

With inputs from PTI

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