India's Budget 2024 Promotes Tourism with Interest-Free Loans and More

India's Budget 2024 Promotes Tourism with Interest-Free Loans and More

By Author

Published on February 3, 2024

The recently unveiled Interim Budget for 2024-2025 holds promising prospects for India's tourism sector. Finance Minister Nirmala Sitharaman's presentation outlined key measures to foster domestic tourism, encourage entrepreneurship, and elevate India's standing on the global travel map.

In a strategic move, the government plans to provide long-term interest-free loans to states, emphasizing comprehensive development of iconic tourist centers. The Minister's focus on areas like Lakshadweep and spiritual tourism reflects a concerted effort to tap into diverse travel experiences.

The budget signals a substantial focus on domestic tourism, with an emphasis on port connectivity, tourism infrastructure, and amenities on islands like Lakshadweep. The goal is not only to boost tourism revenue but also to generate employment opportunities within the country.

While corporate tax reduction from 30% to 22% took center stage, the budget also underscored support for startups. Although no major policy changes were announced, the government's commitment to fostering entrepreneurship in the tourism sector remains evident.

The successful organization of G20 meetings in multiple locations showcased India's diversity and economic strength globally. The Minister highlighted the country's appeal as a destination for business and conference tourism, emphasizing the importance of Meetings, Incentives, Conferences, and Exhibitions (MICE) tourism.

Sitharaman recognized the potential of spiritual tourism in providing opportunities for local entrepreneurs. The recent influx of visitors to Ayodhya, Varanasi, and Ujjain underscores the growing interest in spiritual destinations.

The introduction of a framework for rating iconic tourist destinations based on facility quality is a notable move. States will receive long-term interest-free loans for developing these destinations, contributing to their overall enhancement and global recognition.

The Interim Budget for 2024-2025 unveils a multi-faceted approach to boost India's tourism sector. From interest-free loans for states to comprehensive development plans for iconic tourist centers, the government aims to elevate the nation's tourism landscape. The emphasis on diversity, entrepreneurship, and global recognition sets the stage for an exciting future for India's tourism industry.


Ventive Hospitality Ltd IPO: Everything You Need to Know

Ventive Hospitality Ltd IPO: Everything You Need to Know

By Manu Vardhan Kannan

Published on December 23, 2024

Ventive Hospitality Ltd is making its public debut through an Initial Public Offering (IPO), offering equity shares to the public to raise ₹1,600 crore. The company, previously known as ICC Realty (India) Private Limited, is now looking to expand its footprint by utilizing the funds raised from this offering to pay off a significant portion of its outstanding debt and address general corporate purposes.

The IPO, which opened on December 20, 2024, is set to close on December 24, 2024. The shares will be listed on the Mumbai NSE with the expected listing date of December 30, 2024. The issue price ranges from ₹610 to ₹643 per equity share, and the lot size is 23 shares. This means that the minimum investment for the IPO is ₹14,030, making it an affordable option for retail investors.

Purpose of the IPO:

The primary objective of this IPO is to reduce debt and bolster the company's capital structure for future growth. By paying off part of its borrowings, Ventive Hospitality aims to strengthen its financial position, making it more resilient in a competitive market. A portion of the funds will also be utilized for general corporate purposes, which may include working capital requirements and other operational expenses that support the company's growth strategy.

Employee Reservation Portion:

In an exciting development for employees, Ventive Hospitality has reserved a portion of the IPO for its eligible staff members. This Employee Reservation Portion allows employees to buy shares at a discounted price of ₹30 per share under the employee category, subject to necessary approvals. This initiative highlights the company’s commitment to rewarding its employees and offering them a stake in its growth.

Subscription Status:

The IPO has garnered significant attention from investors. As of now, the issue has been subscribed to 71%, reflecting strong investor confidence in the company. The healthy subscription rate indicates that there is considerable interest in the stock, suggesting a positive outlook for the listing once the shares are officially listed on the exchange.

Key Details:

  • Price Band: ₹610 - ₹643 per equity share (face value ₹1 each)

  • Lot Size: 23 shares

  • Minimum Investment: ₹14,030

  • Listing Exchange: Mumbai NSE

  • Listing Date: 30th December 2024

  • Issue Size: ₹1,600 crore

  • Objective: Repayment of borrowings and general corporate purposes

  • Employee Discount: ₹30 per share (subject to approvals)

  • Employee Reservation Portion: Reserved for eligible employees

Investors should note that the price band offers a reasonable range, with the floor price being ₹610 per share and the cap price ₹643 per share. The issue is expected to contribute significantly to the company's post-issue equity base, positioning Ventive Hospitality for more ambitious business ventures.

About Ventive Hospitality Ltd:

Ventive Hospitality Ltd operates primarily in the real estate sector, with a focus on hospitality-related developments and investments. The company is committed to creating value for its stakeholders through quality projects and innovative solutions. The IPO is seen as a strategic move to enhance its financial standing and fund further expansion in the competitive hospitality market.

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How to Apply:

Investors can participate in the IPO through various methods, including online platforms, brokerages, and by visiting the respective platforms offering the IPO application process. Bids can be placed for a minimum of 23 shares, and further applications can be placed in multiples of 23 shares.

The IPO has gained traction due to the company’s solid track record in the hospitality space and its promising growth potential. This, coupled with its plans to reduce debt and streamline operations, has created a buzz among investors who see this as a great opportunity to be part of Ventive Hospitality’s future journey.

For employees of the company, this IPO provides an opportunity to benefit directly from the company's growth, further solidifying the bond between the company and its workforce.


The Bluffs Grand Ho Tram Celebrates Best Golf Course Win at Global Tourism Awards

The Bluffs Grand Ho Tram Celebrates Best Golf Course Win at Global Tourism Awards

By Nithyakala Neelakandan

Published on August 24, 2024

The Bluffs Grand Ho Tram has been awarded the prestigious "Best Golf Course International" title at the Global Tourism Awards, presented by Travel World Online. This significant achievement highlights the course’s dedication to offering an exceptional golfing experience amidst some of the world’s most stunning landscapes.

Known for its unique design, pristine course conditions, and natural beauty, The Bluffs Grand Ho Tram has consistently been a favorite among golf enthusiasts. This international recognition is a testament to the hard work and passion of the entire team, who have continually strived to create an unmatched golfing environment. The course’s commitment to excellence ensures that every round played at The Bluffs is both memorable and extraordinary.

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The Bluffs Grand Ho Tram also extends its heartfelt thanks to its guests, whose support and enthusiasm drive the team to maintain such high standards. The resort is excited to continue welcoming golfers from around the globe to experience its award-winning greens and looks forward to many more outstanding rounds of golf in the future.

Located at the Grand Ho Tram in Vietnam, The Bluffs is celebrated not only for its world-class golf course but also for its luxurious amenities and breathtaking scenery. This award solidifies its position as a top destination for golf lovers worldwide.


Sterling Holiday Resorts Achieves Record Q1 Revenue of ₹126 Crore

Sterling Holiday Resorts Achieves Record Q1 Revenue of ₹126 Crore

By Nithyakala Neelakandan

Published on August 6, 2024

Sterling Holiday Resorts, a leading player in India's leisure hospitality sector, has reported its highest-ever Q1 revenue of ₹126 crore for FY25. This figure marks a 9% year-on-year growth despite various challenges faced during the quarter, such as a nationwide heatwave, election-related travel delays, and fewer wedding dates.

The company’s EBITDA margin stood at a robust 34%, consistent with industry benchmarks, although slightly lower than the previous year due to the opening of five new resorts in Rajasthan, three of which are in Udaipur and still in their ramp-up phase. Sterling has maintained profitability for 16 consecutive quarters.

Sterling’s expansion strategy continues to drive growth, with the company crossing the milestone of 50 resorts, thanks to the addition of two new locations in Dehradun and Udaipur during the quarter. In total, Sterling has opened nine new resorts since Q1 FY24, underscoring its commitment to a balanced portfolio and regional growth.

CEO and MD Vikram Lalvani commented, “Despite numerous headwinds in the first quarter, Sterling delivered its highest ever Q1 revenues and a healthy EBITDA margin, while also ramping up capacity with new resorts. With long term demand trends continuing to be strong, Sterling is poised for sustained growth through asset-right, balanced portfolio growth across regions. Based on our expansion plans of 20 additional resorts and 1,000 keys in the next 12 to 18 months, in phases, we are also investing in building key talent to cater to this growth.”

Sterling’s achievements have been recognized on platforms like TripAdvisor, where 19 of its resorts are ranked No. 1 in their locations, with 65% of its resorts in the Top 5 overall. Additionally, Sterling Puri received the Best Resort for Destination Weddings (East) award at the ET MICE & Wedding Tourism Awards 2024, highlighting the brand’s growing influence in the hospitality industry.

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