The Wall Street Journal has reported that the founders of EIH Ltd have no plans to sell a stake in the company to Analjit Singh, founder and chairman of healthcare chain Max India.
PRS Oberoi who is also the chairman and chief executive officer of EIH, part of the Oberoi Group that operates the Oberoi and Trident hotel chains, said that the founders won’t sell stakes but he can’t stop people from buying stocks in the open market. EIH founders, including the Oberoi family, hold 46.4% in EIH, while Singh holds 9%. Oberoi also confirmed the debt crisis in Europe could affect the company’s hospitality business this financial year through to March 2011. He added that EIH plans to double its hotel rooms to 6,000 over the next five years. It will also spend $21.4m on renovating its existing hotels in the current fiscal year.