New Delhi [India], May 15 : ITC Hotels is set to acquire luxury resort property 'The Zuri Kumarakom Resort & Spa' in Kerala for an enterprise value of Rs 205 crore, marking the company's first owned resort in the state as ITC Hotels expands its footprint in high-growth leisure destinations.
According to a media statement issued by ITC Hotels on Friday, the company has signed definitive agreements to acquire a 100 per cent stake in Zuri Hotels & Resorts Private Limited (ZHRPL), which owns the resort, on a debt-free and cash-free basis, subject to customary adjustments.
"The acquisition is expected to be consummated over the next few days and will enable ITC Hotels to expand its luxury portfolio in a strategic, high-growth leisure destination - establishing the company's first owned resort in Kerala," the company said in the statement.
The resort is located along the backwaters of Kumarakom on the banks of Vembanad Lake and is spread across 18 acres. The property has 72 rooms, including 38 villas and cottages, along with dining venues, event spaces and nearly 20,000 square feet of spa and wellness facilities.
Speaking on the acquisition, ITC Hotels Managing Director Anil Chadha said the move is part of the company's strategy to strengthen its presence in India's premium leisure hospitality market.
"The acquisition of this exclusive property in Kumarakom marks a strategic cornerstone in our journey to expand ITC Hotels' footprint into one of India's most sought-after leisure destinations," Chadha said.
He added, "By integrating this iconic resort into our portfolio, we aim to elevate the guest experience through our globally recognised culinary excellence and world-class Ayurvedic wellness offerings."
ITC Hotels said the property will undergo extensive renovation and will later be rebranded under the 'ITC Hotels' brand. The company said the redesigned resort will draw inspiration from Kerala's traditional architecture and craftsmanship in line with its "Rooted in the Soil" philosophy.
The company also expects the property to benefit from its hospitality network and loyalty platform.
"By integrating ITC Hotels' institutional strengths - including signature culinary experiences, best-in-class guest services, Club ITC loyalty program and robust distribution network, the Resort will unlock brand-led value uplift and establish itself as a premier luxury destination for leisure and high-profile MICE," the statement said.
ITC Hotels further said the resort's stabilised revenue is expected to rise to nearly three times its current levels and would be margin accretive to the company's overall portfolio.
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