Sterling Holiday Resorts (India), the leading leisure hospitality and vacation ownership company, has firmed up its plans to raise Rs 100 crore through qualified institutional placement (QIP) route. As part of its expansion plan, the board of directors of the Chennai-headquartered hospitality major, which met here on Wednesday, has weighed various options including acquisition of properties and hospitality businessess. It is also evaluating options to forge alliance with strategic partners to drive growth, the company stated.
According to sources, Sterling was in need of funds to complete the ongoing projects and refurbish the existing resorts across the country and to strengthen the financiala position of the company. Touted to be the first company to introduce the concept of vacation cwnership in India, Sterling has built a network of 14 resorts in 12 holiday destinations with 1,072 owned and 119 leased apartments. In the pipeline are 15 additional prime vacation sites with permission for 2,000 more apartments. It has partnership with Resort Condominiums International (RCI), the world’s expert in exchange vacations and Dial-an-Exchange (DAE), an independent exchange company that focuses on working for the individual timeshare and holiday property owner.
Two years earlier, Mauritius-based Bay Capital Investments along with India Discovery Fund had acquired a 19.36% stake in Sterling Holidays.