Mahindra Holidays and Resorts India Ltd, the country’s largest vacation ownership company and part of $15.9 billion Mahindra Group, has divested stake in two Austria-based companies. The company informed the stock exchange that BAH Hotelanlagen AG and MHR Hotel Management GmbH will no longer be subsidiaries of the company with effect from November 29, 2013.
“BAH Hotelanlagen AG, Austria and MHR Hotel Management GmbH, Austria have ceased to be subsidiaries of the company with effect from November 29, 2013 in view of divestment of investment held by the company in the aforementioned subsidiary companies,” Mahindra Holidays said.
However, post divestment, the existing arrangement of room inventory of Bon Alpina in Innsbruck, Austria owned by BAH Hotelanlagen AG will continue as before which means it will be open for use for Club Mahindra members.
The company owns and operates a number of resorts in countries outside India, including Thailand, Malaysia.
Earlier this year, in its bid to increase its presence overseas, the company acquired a 49 per cent stake in Dubai-based Arabian Dreams Hotel Apartments – a 75-room property.
Mahindra Holidays, which runs hotels and resorts under the Club Mahindra brand, has room inventory of 2,480 rooms among 44 resorts in India and overseas.
The company reported an 11 per cent increase in income at Rs 165 crore and a 12 per cent increase in profit after tax at Rs 27 crore year on year for the quarter ended September 30, 2013.
In October, BNP Paribas Arbitrage acquired a 1.12 per cent stake in the company by buying 1 million shares through open market for Rs 21.3 crore.
(Edited by Joby Puthuparampil Johnson)