Just
a few months after the entry, India's Taj is yet to
find its feet in the US with occupancy rates on the
decline. It has made the Tata group's hotel chain already
scout for strategic partners for the two properties.
According to the report by NDTV, Indian Hotels (IHCL)
has initiated talks with possible partners in North
America who could pick up equity up to 49 per cent stake
in Campton Place and Ritz Carlton, now renamed as Taj
Boston.
IHCL had acquired Campton Place for $58 million and
Ritz Carlton for $170 million early this year. While
IHCL management confirmed that they plan to rope in
a partner for Campton Place, they declined to comment
on their plans for Taj Boston.
With
the expected 10 million tourist arrivals in India by
2010, from around 5 million at present Indian Hotels
is certainly bullish on its future growth prospects
in the domestic market.
But sources say that with cutthroat competition and
limited growth in some international markets, it will
not be easy to break even on the new international acquisitions.
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