Chalet Hotels last week acquired Mahananda Spa and Resorts for ₹530 crore in an all-cash deal.
The deal brings the Westin Resort & Spa, Himalayas, into its portfolio, a property located about 45 minutes from Dehradun airport at an elevation of 2,500 feet above Rishikesh. The resort’s scenic location and favourable weather conditions add to its appeal, further strengthening Chalet Hotels’ portfolio.
This newly acquired hotel features 141 rooms with an expected average room rate of ₹25,000 to ₹30,000 per night.
Currently in its early growth phase, the resort operates at around 45% occupancy, with projections to stabilise at 60% within a year. Chalet Hotels sees significant potential for growth in this property.
Following the acquisition, the company’s net debt, which stood at just under ₹1,600 crore, is expected to rise to approximately ₹2,100 crore.
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The number of keys for Chalet Hotels prior to this acquisition was 3,052. With the addition of 141 rooms, the total has now reached close to 3,200.
Sethi added, “We have got another 1,100 rooms under development. A few of them will hit us in the next couple of quarters. As we speak, we are adding 130 rooms to a Bangalore asset, and they will get operationalised in the next couple of weeks or so.”
Most of the growth for Chalet Hotels is expected in 2026-27 (FY27) when the company opens the Delhi hotel with 390 rooms, along with a few other assets currently under development.
Chalet Hotels shares are currently trading at ₹715 as of 10:55 am on the NSE.
Chalet Hotels’ current market capitalisation is ₹15,617 crore. Its shares have declined 13% over the last year.
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(Edited by : Shweta Mungre)
