BusinessWire India
Pune (Maharashtra) [India], September 26: Ventive Hospitality Limited (BSE: 544321, NSE: VENTIVE) ("Ventive Hospitality") announced today that it proposes to enter into definitive agreements to acquire a 76% stake in Soham Leisure Ventures Pvt. Ltd. (Soham). Soham owns the 104 operational keys Hilton Goa Resort and a land parcel in Goa.
In line with Ventive's strategy of doubling its room portfolio and pursuing value-accretive capital allocation, this transaction, with an enterprise value of approximately INR 320 crore, represents a significant milestone.
The initial cash outlay of INR 120 crore secures an operational 104-key resort with development potential for an additional 60-65 keys on the existing site, as well as a 4-acre land parcel in Goa earmarked for branded villas with an estimated gross sale value of over INR 100 crore. Proceeds from villa sales are expected to further strengthen the company's cash flows.
This marks Ventive's first entry into India's growing leisure hospitality market, while also deepening its partnership with Hilton. The Hilton Goa Resort, with its panoramic riverfront setting and vibrant F&B offerings in the culinary capital of India, is uniquely positioned to evolve into an upper-upscale lifestyle resort with a large room footprint of 55 sq.m each. In FY25, the resort achieved an ADR of INR 11,873 at 76% occupancy.
Ventive will undertake a refurbishment of the existing resort, alongside the addition of 60-65 new rooms, a spa, and new F&B concepts. The repositioning will establish Hilton Goa as a high-end upper-upscale resort, driving growth in ADR, EBITDA, and ROCE, while delivering a modern and refreshed experience that appeals to loyal patrons as well as a new generation of leisure and lifestyle travellers across the well-connected North and Central Goa markets.
Strategic Highlights
-Strengthens portfolio: Adds a flagship leisure resort in one of India's top destinations. Creates possibility to leverage on local expertise of Sun Estates Developers for future hospitality projects and branded residences in Goa.
-Resort repositioning: Refurbishment of Hilton Goa Resort's 104 existing keys and addition of 60-65 new keys to drive higher ROCE.
-Branded residences: Integration of the Goa land parcel enabling long-term branded villa development (~INR 100 crore potential sales).
-Balance sheet reset: Transaction structure refinances a significant portion of existing debt at a lower interest rate, improving leverage at the company level.
-Effective capital allocation: At deal closure, Ventive's initial outflow of ~INR 110 crore (excluding Goa land) delivers a 13% yield on capital (YoC) on trailing FY25 EBITDA.
-Aligned with growth vision: Supports Ventive's stated goal of doubling its portfolio to ~4,000 keys over the next five years and marks a milestone entry into India's fast-growing leisure segment, supported by rising disposable incomes and favourable demographic trends.
Leadership Commentary
Atul Chordia, Chairman and Executive Director of Ventive Hospitality Ltd, said: "The Hilton Goa Resort acquisition is a landmark for Ventive, marking our foray into the leisure market in Goa. This move reinforces our commitment to building a diversified portfolio across business and leisure segments while maintaining capital discipline."
Ranjit Batra, CEO of Ventive Hospitality Ltd, added: "We are delighted to expand our partnership with Hilton through this resort in North Goa. With refurbishment, new room additions, the Hilton Goa Resort will become a marquee leisure destination. This acquisition reflects our strategy of selective expansion into high-barrier-to-entry markets with strong long-term demand."
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