Shares of ITC have been hitting to fresh 52-week highs on a regular basis following the diversified conglomerate’s recent reiteration that it is exploring an ‘alternative structure’ for the hotels business.
On Friday, the scrip on the BSE closed 0.17% higher to Rs 330.55 after hitting a fresh 52-week high of Rs 333.35. Shares climbed to a 52-week high of Rs 330.55 on Thursday as well, and later settled at Rs 330 apiece. Shares also hit a fresh multi-year high.
ITC chairman and managing director Sanjiv Puri earlier this week reiterated that the cigarette-to-soap maker is exploring alternate structures for its hotels business as the hospitality industry has been recovering from the aftermath of the pandemic.
Puri, who was leading a CII business delegation to the US, said the conglomerate will divulge details about the alternate structures for the hotels business after “things are finalised”. The hotel segment would pursue the “asset-right” strategy to ensure that it remains competitive and continues to deliver superior performance. Puri also said the company is exploring foreign markets for the hospitality segment.
The company, in fact, had talked about “exploring” alternative structures for its hotels’ segment before the coronavirus outbreak.
“When the pandemic came in, we said that we are holding it for now till things normalise, and we have reiterated in the annual report and the investors meet that we will take it forward in line with industry recovery dynamics,” Puri told reporters in July this year. “So, that is where it stands. It is very much on the table,” he had added.