ITC to invest Rs 8,000 cr in 5 hotels in 5 yrs

Kolkata, Jul 27 (UNI) ITC Limited will invest Rs 8,000 crore to set up five new premium hotels in Bangalore, Ahmedabad and Chennai in the next five years.

Speaking to mediapersons here today at the 96th Annual General meeting of the company, ITC Ltd chairman Y C Deveshwar said the hotel in Chennai would be the biggest hotel in India with 825 rooms.

'' We will also venture in super premium, heritage and luxury hotels in various locations of the country. The company plans to set up a seven star hotel in Ahmedabad and land for the project has already been acquired,'' he said.

Three hotels would be built in Bangalore which would be in the premium segment, he added.

Talking about the company's plans about the retail segment, Mr Deveshwar said,''We are not going to foray into modern retail concept unless the real estate prices become more realistic.'' However, the company plans to introduce a new strategy of positioning itself as a wholeseller that would supply FMCG directly to the hawkers under "Choupal Fresh" brand.

'' We are still toying with this concept and also intend to have our presence felt in the modern supermarts through standalone shops,'' he said.

In the premium segment ITC currently has 200 stores under Wills Lifestyle and newly launched Miss Players segment.

ITC Limited is hopeful about the company's growth in FMCG segment, specially the food business, which grew at the rate of 60 per cent in the last fiscal.

Speaking about the company's investment plans in Bengal, Mr Deveshwar said his projects in the state, entailing an investment of Rs 1500 crore, have been delayed due to land acquisition.

''We have plans to create an integrated experimental farm cum food processing zone with logistics infrastructure. The project is yet to take off due to land acquisition hiccups,'' he said adding the horticulture projects had also been delayed due to the same reason.

UNI