Indian Hotels Company Limited (IHCL) has completed the acquisition of a 51 per cent stake in Brij Hospitality Private Limited (Brij) for a total investment of Rs 2,220 million (Rs 2,220 mn), according to a regulatory filing. The completion makes Brij a subsidiary of IHCL. The filing stated the transaction was effected by IHCL together with its subsidiaries.

IHCL carried out the purchase together with its step-down subsidiaries ANK Hotels Private Limited and Pride Hospitality Private Limited, which collectively acquired the shareholding. The acquisition comprised purchases from existing shareholders and a primary investment through a combination of compulsorily convertible preference shares and partly paid-up equity shares. The structure of the deal was disclosed in the filing as a mix of secondary and primary allocations.

In January IHCL had entered into share subscription and share purchase agreements to secure around 51 per cent of Brij, the filing recalled. IHCL is the country's largest hospitality player and this transaction expands its portfolio. The company's move follows its strategic growth efforts in the hotel sector.

The filing gave the total consideration as up to Rs 2,220 million and described the mechanics of the subscription and purchases without providing further operational details. The completion enables IHCL to consolidate Brij's financials and governance, the filing implied. No further disclosures on management changes or integration plans were provided in the public notice.

The regulatory notice was filed on late Tuesday evening and the transaction report was circulated to stakeholders through stock exchange filings. The matter was carried in media reports attributing the primary source to the regulatory filing. Market participants will watch for follow-up disclosures on capital infusion and hotel operations.