DELHI, India—Oberoi Group denied published reports that EIH Limited, which operates Oberoi Hotels & Resorts and Trident Hotels within The Oberoi Group, is merging its hotels with ITC Group.
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The Oberoi Mumbai |
“The article is completely incorrect,” according to Ketaki Narain, director-corporate communications, The Oberoi Group. “It has no basis whatsoever.” The story initially ran Monday in The Financial Express and was picked up by global media outlets, despite its anonymous source.
The story reported ITC and EIH were working on a three-way venture with another stakeholder, Reliance Industries Limited.
Reliance on 30 August announced it acquired EIH Limited shares representing 14.12% of the company worth approximately Rs 1,021 crore (US$217.5 million).
ITC has approximately 14.9% holding in EIH, according to The Economic Times.
Since the Reliance move, EIH’s board approved a plan in late September to issue rights shares to raise up to Rs 1,300 crore (US$291.9 million). It has not yet been priced or issued.