May 28: Bharti Airtel Ltd chairman Sunil Mittal is planning to invest over $1 billion in a hotel chain, owned by the billionaire’s son-in-law Sharan Pasricha. According to people close to the matter, the money would fund acquisitions by Ennismore, owned by Sharan Pasricha.
The fund injection would be coming straight from the Bharti unit that’s in charge of handling Mittal’s family wealth. The money would be used to acquire properties in trendy urban areas, both in US and European regions. The acquired properties would be converted to hotels, focusing on catering to the younger travellers.
Ennismore, which owns the Gleneagles resort and Hoxton hotel chain, is currently seeking huge expansions in US and Europe. Hoxton currently operates four hotels across three cities in Europe. Two among them are located in the Shoreditch and Holborn neighbourhoods of London, while the remaining two are located in Amsterdam and Paris. The brand has 667 rooms in total across these cities.
Hoxton was acquired by Pasricha in 2012, starting with the one operating in Shoreditch neighbourhood. It was followed by the acquisition of Hoxton, Holborn the following year, and that of in Amsterdam and Paris in 2015 and 2017 respectively.
In between, Ennismore also acquired the Glenagles resort situated in Scotland. The company is now planning to expand its London-based operations by adding new Hoxton locations at Southwork and Speherd’s Bush.
Hoxton’s US expansion activities have already reached the cities of New York and Los Angeles, with some of them planned to be started right this year. The company is planning to expand to other locations in US including Chicago and San Francisco by 2020.