Piramal Capital & Housing Finance Pours Rs.650 Crore in SAMHI Hotels

Piramal Capital & Housing Finance (PCHFL) announced an investment of Rs.650 crore in the Gurgaon based SAMHI Group. The current investment enables SAMHI Group to support its growth plans and strengthen the three assets namely - The Courtyard and Fairfield by Marriott in Bangalore, the Sheraton in Hyderabad and the Hyatt Regency in Pune. This is the third major investment made by PCHFL over the last six months. Earlier, PCHFL had invested Rs.600 crore in Gurgaon based Vatika Group and INR 600 crore with Advantage Raheja Group.

Khushru Jijina, Managing Director, Piramal Capital & Housing Finance, says, “We believe that this is an opportune time to target the hospitality sector with ‘intelligent’ capital.  As the traditional lenders are unable to provide ‘holistic’ solutions, expertise of our Group and our presence across the capital stack enables us to cater to this industry with unique customized solutions and innovative structures. Our ability to act as a catalyst between owners and operators alike further adds to our distinct competitive advantage over others. Over a span of 6 months, we have deployed Rs. 2000 crore towards the hospitality sector as we scale our offerings within this vertical to reach a target book size of Rs. 10,000cr in the next 3 years. The industry is firmly on a path of growth, ably supported both domestic and foreign tourism, has higher disposable income and is witnessing a general change in spending habits of target customers.”

PCHFL has done five other transactions, totaling to Rs.450 crore against five hotel assets that are operated by reputed brands like Taj, Hyatt, Radisson and more across regions like Bangalore, Hyderabad, Shimla and Goa. Among this, Rs.100 crore will be used for the funding of the first Taj Luxury Resort in Himachal Pradesh in Theog, Shimla which is a 99 key full service five star luxury property built over a hilltop of five acres with a 360 degree view of the mighty Himalayan range.

Ashish Jakhanwala, Founder & CEO, SAMHI Group, states, “We continue to see accretive acquisition opportunities in hotel sector and we are perhaps best positioned to take advantage of these. We have found, in Piramal, a partner of choice given their unique understanding of the sector coupled with their ability to provide flexible and targeted funding that allows us to pursue growth while maintaining the right capital structure.”

Founded in 1980, Piramal Capital & Housing Finance Limited (PCHFL) is registered as a housing finance company that engages in various financial services businesses. It provides both wholesale and retail funding opportunities across sectors and with its group companies, it offers constructed strategies for institutional and retail investors such as Mumbai redevelopment Fund and Apartment Fund.

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