Juniper Hotels Ltd has proposed to acquire the operating Novotel Imagicaa hotel from Imagicaaworld Entertainment Ltd for an aggregate consideration of ₹248 crore, translating to approximately ₹86 lakh per key.
The transaction, which is subject to definitive agreements and customary closing conditions, will add the 287-key leisure hotel in Khopoli, Maharashtra, to Juniper Hotels’ portfolio.
The acquisition is also subject to the receipt of required statutory, regulatory and other approvals.
287-key hotel near Mumbai-Pune corridor
Spread across approximately 11 acres, Novotel Imagicaa is located in Khopoli, between the economic centres of Mumbai and Pune. The airport is accessible within about a two-hour drive, while the hotel is adjacent to the Imagicaa Theme Park and Water Park.
The property has a built-up area of approximately 2,80,000 sq ft and comprises 287 guest rooms, restaurants, banquet and meeting venues, a spa and recreational facilities.
The hotel has established a presence in the leisure and social segments, positioning it as a family-oriented holiday destination.
Focus on immediate operating cash flows
For Juniper Hotels, the proposed acquisition provides entry into an operating asset rather than requiring the development time associated with a greenfield project.
The company said the hotel is among India’s larger big-box leisure properties and is expected to provide stable cash flows from day one.
Its location also gives Juniper exposure to multiple demand segments, including leisure, social events, MICE and weekend travel.
The company sees scope to add incremental banqueting and ballroom capacity, potentially strengthening the property’s social and MICE business by leveraging its proximity to the Imagicaa parks.
Rebranding opportunity
Juniper also sees an opportunity to reposition the property in the upper-upscale segment and increase revenue over the longer term.
The company expects to leverage its asset-management and hospitality expertise to improve the property’s long-term value while diversifying revenue across rooms, food and beverage, MICE and other hospitality offerings.
Juniper Hotels Ltd, Chairman & Managing Director, Arun Kumar Saraf, said the company’s growth strategy is focused on owning the “right assets” in the right markets, with properties capable of generating diversified revenue streams.
“Novotel Imagicaa represents the kind of asset we look for. It is an established hospitality property with scale, a strong destination proposition, and multiple demand generators,” Saraf said.
He added that Juniper intends to pursue growth with capital discipline, strong internal cash generation and a healthy balance sheet while selectively evaluating acquisitions that offer a strategic fit.
Juniper currently operates seven hotels
Following the proposed acquisition, Juniper would add another large operating hotel to its existing portfolio.
The company currently owns and operates seven hotels comprising 1,895 keys, including 245 serviced apartments, across key gateway cities and business destinations in India.
Its portfolio includes Grand Hyatt Mumbai Hotel and Residences, Andaz Delhi and Residences, Hyatt Regency Ahmedabad, Hyatt Regency Lucknow, Hyatt Raipur and Hyatt Place Hampi, spanning the luxury and upper-upscale segments.
The company follows a long-term ownership model focused on developing, acquiring and operating hospitality assets in strategically important markets.
The Novotel Imagicaa transaction will be completed only after execution of definitive agreements, satisfaction of customary closing conditions and receipt of applicable approvals.