Indian Hotels Seeks to Buy 93.1% Stake in Orient Express Hotel

Indian Hotels Company Ltd has informed BSE that the through Samsara Properties Limited, a wholly owned subsidiary currently holds 7,130,764 Class A common shares of Orient-Express Hotel Limited, a company listed on the New York Stock Exchange. The Company currently has an effective shareholding in Orient-Express Hotels Ltd aggregating to 6.9%, which was acquired by the Company in stages during 2007 and 2009. At a meeting of the Board of Directors of the Company held at Mumbai this evening the Directors have "in principle", subject to the necessary regulatory approvals, authorized the Company to make an offer to the Board of Directors of Orient-Express Hotels Limited seeking their consent for the Company acquiring the balance outstanding 93.1% Class A common Shares of Orient-Express Hotels Limited i.e. 100%. The Company proposes to finance the acquisition o such shares and related transaction costs through a combination of debt and equity. Total funds required to consummate the transaction is in place. The Company also has an agreement Montezemolo & Partners an important Italian company directly owned by the Montezemolo family who is the Manager of charme II Fund, which will be a minority shareholder in the Special Purpose Vehicle set up for the transaction.