ITC Hotels' Spinoff Takes Effect: What it Means for India's Hospitality Market
Skift Take
ITC's move to demerge its hotel division comes amid positive investor outlook for the industry as demand for travel trumps high pricing.
ITC Hotels has now split from its parent company, ITC announced this week.
In December, the National Company Law Tribunal approved the demerger. As per the guidelines of stock market watchdog Securities and Exchange Board of India (SEBI), the shares of ITC Hotels are likely to be listed by February 2025.
However, ITC will continue to hold a 40% stake in its hotel business. The remaining 60% shares will be allocated to its existing shareholders in proportion to their stake in ITC. The hotels business will also receive INR 15 billion ($174.8 million) in the demerger for planned growth and contingency requirements, the company said in an exchange filing.
As a standalone entity, ITC Hotels will compete wit
