AZB & Partners advised Belaire Hotels and Belaire Group, owner of the Novotel Pune Nagar Road Hotel and its affiliate entity Seapearl Hotels, in a 100% share capital acquisition by Chalet Hotels from the Belaire Group and Accor Group at a net consideration of ₹1.7 billion (US$24.7 million).
The acquisition includes 100% equity shares and 100% of zero coupon fully and compulsorily convertible debentures of Belaire Hotels, and 100% of the equity shares of Seapearl Hotels and 100% of zero coupon fully and compulsorily convertible debentures, for a complete cash consideration.
The transaction team comprised AZB’s partners Sai Krishna Bharathan and Shivani Kabra, and senior associate Vasudha Asher.
“The transaction involved substantial structuring work in light of the applicable regulatory requirements,” Kabra told India Business Law Journal. “[It also involved] complex negotiation and drafting to address the diverse objectives and interests of the parties involved, and balancing the same with operational flexibility for the professional management team of Belaire Hotels.”
Kabra added that the deal represented a significant addition to the firm’s expertise in the hospitality sector. Novotel Pune is a 223-room five-star hotel located in the affluent neighbourhood of Viman Nagar with proximity to the airport and easy access to prime business centres in the region.