Indian Hotels rises as Orient-Express rejects takeover bid

MUMBAI Fri Nov 9, 2012 9:55am IST

Employees of the Taj Palace Hotel walk inside the heritage wing of the hotel in Mumbai August 11, 2010. REUTERS/Danish Siddiqui/Files

Employees of the Taj Palace Hotel walk inside the heritage wing of the hotel in Mumbai August 11, 2010.

Credit: Reuters/Danish Siddiqui/Files

Related Topics

Stocks

   

MUMBAI (Reuters) - Shares in Indian Hotels Co Ltd(IHTL.NS), controlled by the Tata Group, opened up 2.5 percent on Friday morning after Orient-Express OEH.N rejected the Indian company's $1.2 billion unsolicited takeover bid, saying it is too cheap.

"The Indian Hotels proposal ... is deeply unattractive from a financial perspective," Orient-Express Chairman Robert Lovejoy said in a statement late on Thursday.

Indian Hotels shares had fallen sharply after the company announced the bid on October 18, as analysts were worried that the acquisition would worsen the company's debt profile.

Indian Hotels, Orient-Express's second biggest shareholder with a 7 percent holding, said it was considering its options after the rejection.

(Reporting by Aditi Shah; Editing by Jijo Jacob)

FILED UNDER:

Politics

REUTERS SHOWCASE

Fund Raising

Fund Raising

Flipkart raises $700 million in fresh funding.   Full Article 

Reforms Push

Reforms Push

Modi may order insurance, coal reforms if vote delayed - officials.  Full Article 

Reuters Exclusive

Reuters Exclusive

India looks to sway Americans with nuclear power insurance plan  Full Article 

To Boost Growth

To Boost Growth

Crank up public spending to revive growth - chief economic adviser.   Full Article 

Bold Steps

Bold Steps

SpiceJet rescue plan marks bold bet on Indian aviation recovery.   Full Article 

New Airline

New Airline

Tata, Singapore Air venture Vistara to take off on Jan 9.  Full Article 

Online Sales

Online Sales

Knock knock. Who's there? Amazon's best-selling holiday author.  Full Article 

Chinese Economy

Chinese Economy

China revises up size of 2013 economy, sees no effect on 2014 growth.  Full Article 

Reuters Poll

Reuters Poll

BSE Sensex to hit 32,980 by December 2015  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device  Full Coverage