BUSINESS

Sinclairs ropes in strategic investor

Special Correspondent

KOLKATA: The Pressman Group, which owns the Sinclairs chain of hotels and resorts, is roping in three overseas investors, including a strategic investor. A preferential issue is being proposed, subject to statutory approvals, which will reduce the holding of the promoter group, Pressman Estates & Investments Ltd. and Pressman Properties Ltd. to 48.97 per cent post-issue from 89.24 per cent now.

The proposed allotment, to be made through the issue of 3.53 lakh shares of Rs. 10 each (at a premium of Rs. 162 a share) as well as warrants is being done to grow the company, Navin Suchanti of Pressman Group said.

Sinclairs Hotels, which has 300 rooms in five destinations, including Udhagamandalam and the Andamans, was also planning an upgrade of its existing properties and making investments in new destinations, Mr. Suchanti said. As per the issue proposal, which has been approved by the board, and intimated to the stock exchanges, the Xander Group, a global private equity firm with experience in hotel companies, will be given 26 per cent holding. The other investors are: two private equity firms — Morgan Creek, a U.S. investment firm, and Meridia Capital, based in Spain, which specialises in the hospitality industry. The public holding, which now stands at 10.76 per cent, is set to increase to 25.02 per cent after the allotment. The company plans to place these proposals before the shareholders at an extraordinary general meeting on November 8.

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