DLF Sold Luxury Hotel Chain Aman Resorts for 300 Million Dollar

DLF, one of the biggest real estate company sold luxury hotel chain Aman Resorts to the founder Adrian Zecha for 300 million dollar or 1637 crore Rupees. However, the deal did not include Aman New Delhi (initially called Lodhi Hotel). DLF will continue to be the owner of this hotel. Aman Resorts has approximately 25 more properties all over the world.

DLF sold overall stake in the Silverlink Resort, which holds the Aman Resorts, to Zecha. DLF sold the stake through DLF Global Hospitality, the completely owned subsidiary of DLF. Back in the year 2007, DLF acquired all realties which also included Lodhi Hotel, from Indonesian hotelier at the cost of 400 million dollar.

Later, Lodhi Hotel was hived off by DLF into a different company. Aman Resorts, on the other hand acquired Lodhi Hotel in 2002-2003 for 73 crore Rupees in disinvestment programme of the government. An expert analysed that the present value of the hotel would not be less than 450 crore Rupees approximately.

By selling Aman Resorts, DLF has almost exited the non-core ventures such as hotels, so that it could focus completely on realty.

The sale of Aman Resorts is said to be the second biggest sale by the company. Back in August 2012, DLF sold out 17-acre primary location land to Lodha Developers in Mumbai for 2727 crore Rupees.

Amount collected through the sale of these resorts would be used in turn to pay off debts. There is a target of DLF to bring down the debt from 21000 crore Rupees to 18000 crore Rupees by the end of FY 2012-2013.

Apart from Aman Resorts, DLF has also sold out the hotel land in Chennai, Kolkata and Bangalore. By the end of September 2012, DLF had raised 5773 crore Rupees by selling the hotel plots as well as SEZs and IT Parks. The company has also planned to sell wind energy business through which there is an expectation to collect 1000 crore Rupees.