Choice and Carlson hotels have both announced agreements to acquire the companies that that manage their operations in India.
Choice Hotels International said it had agreed to buy the remaining 60 percent ownership interest in Choice Hospitality India Ltd., making it a wholly owned subsidiary.
Carlson Hotels Worldwide, meanwhile, said it has signed an agreement to increase its stake in RHW Hotel Management Services Ltd (RHW) from 13% to 87%.
The company also announced that it will be adding 50 hotels in India, from the current 28 hotels, to 78 by the end of 2012.
“We are very proud of what we have achieved in India to date,” said Hubert Joly, president and CEO of Carlson. “This acquisition is a natural progression for Carlson as we continue to grow in this key market.”
RHW has managed Carlson-branded hotels in India since 1998. Carlson is acquiring the shares from Umak Investment Company Private Limited. The remaining 13% is held by private investors.
The acquisition will result in a new integrated organization for Carlson Hotels in India, encompassing development, projects, operations, marketing and sales.
Choice CEO Stephen Joyce announced Choice’s plans at announcement at the Hotel Investment Forum India Conference taking place this week in Mumbai.
“We plan to focus extensive development resources on growing our presence in India, which now stands at 28 hotels,” he said in a statement from Mumbai. “India is an extremely important key market for our global growth and we’re looking forward to the great development potential that it holds for our brands and our hotels.”
As a wholly owned subsidiary, Choice Hospitality India’s franchisees will get expanded marketing and training.
Choice franchises 6,000 hotels around the world. It’s brands include Comfort Inn, Comfort Suites, Quality, Sleep Inn, Clarion, Cambria Suites, MainStay Suites, Suburban Extended Stay Hotel, Econo Lodge and Rodeway Inn.
Carlson Hotels Worldwide has 1,060 locations in 77 countries. Its brands include Regent Hotels & Resorts, Radisson Hotels & Resorts, Park Plaza Hotels & Resorts, Country Inns & Suites by Carlson and Park Inn.