ITC Hotels Limited has announced that the company will acquire a 100% stake in GHK Hospitality and Infrastructures Ltd. that owns Welcomhotel, Ahmedabad, which is currently operated by the company under an operating services agreement.

‘Welcomhotel Ahmedabad’, with 130 keys is located along Ahmedabad’s prominent Ashram Road, overlooking the scenic Sabarmati Riverfront and is in proximity to Ahmedabad International Airport as well as the Narendra Modi Stadium.

Ahmedabad is an emerging metropolitan hub and amongst India’s top eight urban economies supported by prominent corporates, industrial corridors like Dholera, GIFT City and Sanand.

The addition of this hotel would further strengthen the company’s owned asset portfolio in Ahmedabad by straddling across all the branded hospitality market segments and price points, the company said.

The acquisition is expected to be consummated within the current quarter and transaction will be completed at an enterprise value of ₹155 crores, on a debt-free and cash-free basis.

“The acquisition of this hotel will mark another milestone in pursuit of the Company’s growth aspirations by adding another owned property in one of the fastest growing urban centres of India.... The hotel’s prime location, established brand positioning and consistent occupancy levels provides an attractive opportunity to enhance yields and cash flow generation over the long term,” said Anil Chadha, Managing Director, ITC Hotels Limited,

ITC Hotels Limited recently acquired The Zuri Kumarakom, Kerala Resort & Spa, a luxury resort in a high growth leisure destination.