‘Leela’ brand to be history in hotel industry

 MUMBAI: As a part of the Brookfield Transaction that bought Hotel Leela, the word ‘Leela’ would not be part of the company’s name, after a gap of more than three decades.

The Leela Palaces, Hotels and Resorts, commonly k,nown as The Leela was  founded in 1986 by rhe late C P Krishnan Nair, a Keralite businessman, as an Indian luxury hotel chain, and had been managed by The Leela Group.

“It is proposed to change the name of the company from ‘Hotel Leelaventure Ltd’ to HLV Ltd or some other suitable name, if it is not available’ and make corresponding change in the Memorandum of Association and Articles of Association of the company, subject to the approval of the shareholders by way of Postal Ballot, the Registrar of companies, Mumbai and other statutory authorities, as may be required,” a Brookfield statement said.

It was in March the Canadian alternative asset management company, Brookfield, bought the assets of Hotel Leelaventure comprising key hotel properties in Delhi, Bangalore, Udaipur and Chennai for Rs3950 crore.

Leelaventure, which has debt exceeding Rs3000 crore, notified shareholders that all borrowings of the company from banks and financial institutions would stand repaid after the completion of the transaction and lenders dues are retired.

The company will continue to operate the hotel in Mumbai and hold land in Hyderabad and operate the joint development project of residential apartments with Prestige Developers in Bangalore.

Brookfield will have a right of first refusal over the company’s hotel in Mumbai as a part of the transaction, implying it will have the right to match the highest offer for the property in the eventuality of its sale at a later stage.

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