Financial Daily from THE HINDU group of publications
Friday, Jun 02, 2006

Cross Currency

Group Sites

Industry & Economy - Hotels

UK's Dawnay, Day to launch hotels in India

Our Bureau

Plans to invest about $200 million initially

MR ALOK VAJPEYI (left), Vice-Chairman & MD, Dawnay Day AV Financial Services Pvt Ltd, and Mr Peter Klimt, Chief Executive, Dawnay Day International, at a press conference in Mumbai on Thursday. — Paul Noronha

Mumbai , June 1

The UK-based Dawnay, Day Group today announced plans to enter the hospitality sector in India by launching a chain of hotels in the metros and mini metros.

The company intends to have 30 three and four-star business hotels in India over the next 3-5 years. Dawnay, Day would initially invest about $200 million in the business, Mr Peter Klimt, Chief Executive, Dawnay, Day International said at a press conference here. Dawnay, Day Group would fund the business through debt and equity.

The hotels would target corporate executives and foreign tourists. Each hotel would have 100-125 rooms of around 30 sq m. The average price of the rooms would be about $100, Mr Mandeep Lamba, Managing Director, Dawnay, Day Hotels-India said.

"We believe there is tremendous potential for growth in the business segment of the hospitality industry and we expect to mark a substantial presence in the market by offering the business traveller a superior product," Mr Alok Vajpeyi, Vice-Chairman and Managing Director, Dawnay Day AV Financial Services, Private Ltd, said.

The company is currently in discussions for acquiring properties in Pune, Mumbai, Chennai, Hyderabad and New Delhi. It expects to set up the first hotel in the next six months and have 10 hotels by 2010. The company intends to acquire land at key locations in metro and mini metro cities, Mr Klimt said.

According to Mr Lamba, Dawnay, Day is open to acquisitions to expand its brand profile.

More Stories on : Hotels

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Is this monsoon for real?

Brewing Bay `low' to decide monsoon play-out over plains
5 banks hike NRE, FCNR deposit rates
Social security plan for unorganised sector mooted
Centre meets revised fiscal deficit target
Accelerating growth: Rangarajan outlines six challenges
Economic growth to decelerate to 6.6% this fiscal: JM Morgan
Index of action
MSEDCL chalks roadmap to make Maharashtra a power surplus State
Bengal identifies land for greenfield projects
ecomNET office-bearers
Attracting investments
UK's Dawnay, Day to launch hotels in India
Airports project: SC to hear Anil Ambani group plea on July 3
Work, as usual
Congestion costs dear on Delhi roads
YSR to lay foundation stone for power project
Lanco signs pact with Uttaranchal
Steel companies hike prices again
RBI exempted from service tax
Palladam High-Tech Weaving Park to be operational by December
Tata AIG liability cover for unlisted cos
24x7 Customer varsity programme
College of Fire Tech admissions
Maruti sales rise 27% in May
Hero Honda sales up 34%
Varsities urged to protect IP rights
`India faces labour dichotomy'
Cos told to look beyond cities for talent
DoT seeks time to examine Reliance, Bharti proposals
Three-day expo on fire safety
Coir exports exceed target
UN meet on tourism ethics begins today
War against spurious goods intensifies
Delayed decisions

The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription
Group Sites: The Hindu | Business Line | Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |

Copyright 2006, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line