India's Hotel Leela Venture to sell assets to Brookfield for $576 mln (updated)

HLV

18/03/2019 12:36

(Adds details of deal)
    March 18 (Reuters) - India's Hotel Leela Venture Ltd
 HTLE.NS  will sell four of its hotels and a property to a fund
sponsored by Canada's Brookfield Asset Management  BAMa.TO  for
39.50 billion rupees ($576.41 million), as part of its
restructuring, it said on Monday.
    The company will sell four Leela hotels at Bengaluru,
Chennai, Delhi and Udaipur and its property in Agra to 
Brookfield.
    The proceeds of the deal, which will also see the company's
owners transfer the 'Leela' brand to Brookfield for all
hospitality businesses, will be used to repay existing lenders
of the company, Hotel Leela Venture said in a statement https://www.nseindia.com/corporate/HOTELEELA_18032019171014_BMoutcome18032019sw_156.pdf.
    The company will continue to operate its hotel in Mumbai and
own some land in Hyderabad and its development project of
residential apartments with Prestige Developers in Bangalore.
    The shareholding of the company will remain unaffected after
the sale, Hotel Leela Venture said.

($1 = 68.5275 Indian rupees)

 (Reporting by Chris Thomas in Bengaluru; Editing by Shreejay
Sinha and Louise Heavens)
 ((chris.thomas@thomsonreuters.com; +91-80-6749-8695; Reuters
Messaging: chris.thomas.thomsonreuters.com@reuters.net))