New Delhi, March 6 SAMHI Hotels announced on Friday that its board has approved the acquisition of a 70% stake in RARE India – a platform of heritage hotels, retreats, and experiential stays – for a sum of ₹47 crore.
In parallel, SAMHI and RARE have entered into an agreement for affiliation with Marriott International, whereby RARE would have exclusive rights to operate its portfolio of hotels under the Outdoor Collection brand by Marriott Bonvoy across India, Nepal, Bhutan, and Sri Lanka, giving it access to Marriott's global distribution channels.
SAMHI expects to enter into definitive agreements with Marriott after the acquisition is complete.
"SAMHI's commitment is expected to be ₹470 million (₹47 crore), which includes the primary infusion into RARE India and a small portion towards the partial purchase of shares from existing holders. The primary capital contribution will be deployed towards creating value through strengthening management capabilities, technology and distribution upgrades, and expanding marketing and brand reach to support RARE's next phase of growth," it said in a statement.
RARE will continue to be operated independently by its Founder and team. This partnership allows SAMHI to go beyond borders and expands its portfolio to approximately 100 hotels through a combination of assets under ownership and affiliation models, it stated.
RARE India has a portfolio of 67 hotels with 990 rooms, with a presence in more than 15 states in India and an international presence in Nepal and Bhutan.
Ashish Jakhanwala, Chairman & Managing Director, SAMHI Hotels Ltd, said: "With a strong and proven founding team, an irreplaceable community of owners, and the proposed affiliation with Marriott, we believe RARE can emerge as a leading B2C brand in experience-led tourism."
Rajeev Menon, President, Asia Pacific excluding China, Marriott International, shared: "Through this collaboration, we look forward to extending our global distribution platform and Marriott Bonvoy ecosystem to a highly curated collection of unique stays."
