Bird Group pacts Thai's Dusit to invest $ 400mln in hotels

New Delhi, Mar 15 (UNI) The Bird Group today entered into an equal joint venture with Thailand-based Dusit International to foray into the country's hospitality sector with an initial investment of 400 million dollars.

Under the joint venture, named as Dusit-Bird Management Company, the Bird group's hospitality arm, Bird Hospitality Services, will develop six 4 to 5 star hotels in two phases. The Dusit Group will manage and franchisee several hotels in India.

''There is a demand-supply gap of 20-30 per cent in this sector.

Seeing the tremendous boom in the hospitality as well as travel and tourism sector, it is logical for us to enter the industry,'' Bird Group Executive Director Ankur Bhatia told reporters here.

The first phase will constitute setting up of three hotels in Delhi, Goa and Rishikesh by 2010.

''The land bank for the three projects has been created and the work will begin from fourth quarter of this fiscal,'' Mr Bhatia said.

In the second phase, three more luxury hotels will be established in Pune, Amritsar and Jaipur by 2013. The joint venture company is in talks with various land owners to acquire the land.

Bird Group will fund its 200-million-dollar investment through a mix of internal accruals and private equity.

''If we still fall short, we will raise a minimal amount of debt,'' Mr Bhatia added.

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