Bhagwati Banquets and Hotels is planning to raise upto Rs 150-200 Cr through PE for its upcoming projects. The company is building Hotels in Nagpur and Jaipur.

Bhagwati, which operates hotels under the brand - The Grand Bhagwati, has earmarked a capital expenditure of Rs 300 Cr for its expansion and plans to raise the funds from PE and internal accruals.

Bhagwati Banquets was founded by Narendra Somani in 1999. Bhagwati hotel is currently developing its first five-star property in Surat with an investment of Rs 180 Cr. It has tied-up with a Bangkok-based spa operator to manage the hotel’s spa facility.

Transaction Reference: Financial Chronicle

Bhagwati Banquets also owns and manages TGB multi-cuisine restaurants, Bhagwati food courts, bakery shops and specialty south Indian food outlet Murugan Xprez.

The company has a market capitalization of Rs 332 Cr, but the promoters want a substantial premium of almost 50% to the present market price. The promoters are also planning to raise their stake from 43.15% to 51% in line with SEBI guidelines.

It is also planning to setup budget hotels under the brand name - TGB Express near the pilgrimage spots like Saputara, Dwarka, Somnath and Ambaji. These hotels would require an investment of around Rs 10 Cr per hotel.

Delhi based Asian Hotels is also looking to raise Rs 250 Cr for expansion and for possible acquisitions in the hospitality sector.

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August 20, 2010 05:55 PM

Mr Narendra Somani Managing Director Bhagwati Hotels S.G. road, Thaltej, Satellite Road, Bodakdev, Ahmedabad-38005 4 Dear sir, I take this opportunity to congratulate you on your maiden venture into hospitality industry in our city, Nagpur. I wish you every success in your endeavors. After going through website of google, I came to understand that you have in pipeline dream child hotel project for Nagpur. I have been rendering my contributions to the industry for nearly 32 years. For ready reference, I completed my post graduate course from Oberoi School of Hotel Management during the academic year 1979-81. Since then I am actively serving the industry. I would like to shift back to my base Nagpur and offer my services to the group as CEO/suitable job assignments where I could prove my worth with my vast experience, dilligence, honesty, and loyalty towards the organization. I would like to get an opportunity to speak to you personally sir. Once again, may you be empowered to add many more such hospitality projects on pan India basis. Thanking once again in anticipation, Yours sincerely, Dinesh C. Jha 09372344838 - Posted by DINESH C. JHA Recommended by 0 Readers