News for the Hospitality Executive |
April 6, 2011 - Marriott
International (NYSE:
MAR) today announced it has reached a preliminary agreement to form a
joint
venture with SAMHI Hotels Pvt Ltd., a hotel and investment company
based in New
Delhi, to launch Fairfield by Marriott, a new hotel
prototype
designed specifically for the growing Indian business traveler
segment.
The venture is expected to bring 2,500 guest rooms and approximately 15
moderate-tier hotels to India by 2015 in markets such as Bangalore,
Chennai and
Hyderabad. “With a
burgeoning middle
class of more than 200 million people, yet very few branded
moderate-tier
hotels to serve them, India presents a powerful growth opportunity for
Fairfield by Marriott,” said Navjit Ahluwalia, senior vice president of
development in India, Marriott International. “With its expertise
and
relationships in the Indian market, plus the strong track record of its
seasoned hospitality executives, SAMHI Hotels is an excellent partner
for this
venture.” Once completed, the venture
will firmly establish Marriott’s leadership position in the
moderate-tier
category in India, and support the company’s goals of expanding in
India from
12 to 100 hotels across seven brands by 2015. Since opening its
first
hotel in India in 1999, with the Goa Marriott, Marriott has expanded
its
portfolio there to include the Courtyard by Marriott, Marriott Hotels
&
Resorts, JW Marriott, Renaissance, and Marriott Executive Apartments
brands. “With a focus
on
moderate-tier hotels, Fairfield by Marriott fits into the core strategy
for
SAMHI,” said Ashish Jakhanwala, Managing Director SAMHI Hotels.
“Our
choice of Fairfield was driven by the fact that Marriott has developed
the
brand and product for the Indian market based on extensive consumer
research.
We believe that Fairfield development will allow SAMHI to target a wide
and
fast growing segment and create tremendous value for our shareholders.” The 155-room Fairfield by
Marriott prototype is a highly customized version of the company’s
successful
Fairfield Inn & Suites brand, which was created in 1987 and has
grown to
more than 660 properties throughout the United States, Canada and
Mexico.
Unique features of the new Indian prototype include:
“To design Fairfield by
Marriott, we started where we should—with the upwardly-mobile Indian
business
traveler,” says Shruti Gandhi Buckley, Vice President of the Fairfield
by
Marriott brand. “We believe we’ve developed a hotel prototype
that is culturally
relevant, meeting our guests’ unique needs around hotel living, dining,
and
socializing.” Formation of the
joint
venture is subject to negotiation of definitive transaction documents
and
customary closing conditions for transactions of this type, including
obtaining
any necessary consent. The parties anticipate closing in the
second
quarter of 2011. MARRIOTT
INTERNATIONAL, INC. (NYSE:MAR) is a leading lodging company
with more than
3,500 lodging properties
in 70 countries and territories. Marriott International operates and
franchises
hotels under the Marriott, JW Marriott, The Ritz-Carlton, EDITION,
Autograph
Collection, Renaissance, Residence Inn, Courtyard, TownePlace Suites,
Fairfield
Inn & Suites, SpringHill Suites and Bulgari brand names; develops
and
operates vacation ownership resorts under the Marriott Vacation Club,
The
Ritz-Carlton Destination Club, and Grand Residences by Marriott brands;
licenses and manages whole-ownership residential brands, including The
Ritz-Carlton Residences, JW Marriott Residences and Marriott
Residences;
operates Marriott Executive Apartments; provides furnished corporate
housing
through its Marriott ExecuStay division; and operates conference
centers. The
company is headquartered in Bethesda, Maryland, USA, and had
approximately
129,000 employees at 2010 year-end. It is ranked by FORTUNE as the
lodging
industry’s most admired company and one of the best companies to work
for. In fiscal year 2010, Marriott International reported sales
from
continuing operations of nearly $12 billion. For more information or
reservations, please visit our website at www.marriott.com,
and for the latest company
news, visit www.marriottnewscenter.com. SAMHI
Hotels Pvt Ltd. is a hotel investment and development company,
with a
focus on high growth economy and mid-scale segment in Indian
sub-continent.
SAMHI has been co-founded by Steve Rushmore, Founder and President of
HVS,
Ashish Jakhanwala, who was part of start-up and core team at Accor
India/InterGlobe Hotels, and Manav Thadani, Chairman and Founder of HVS
India
and is sponsored by GTI Capital Group, an India-focused private
investment and
advisory firm. Note: This press release contains “forward-looking statements” within the meaning of United States federal securities laws, including statements about the expected timing for closing, the joint venture’s future operations, the size of the future joint venture hotel portfolio, and similar references to anticipated future events or expectations that are not historical facts. We caution you that these statements are not guarantees of future performance and are subject to numerous risks and uncertainties, including the ability of the parties to finalize definitive transaction documents, any changes to the joint venture that may be reflected in the definitive documents, delay in or failure to obtain any necessary consent, or the ability of the joint venture to acquire and finance sites for development; any of which could delay or prevent formation of the joint venture, cause the joint venture to operate differently than as described in this press release or result in the joint venture developing fewer hotels than anticipated. These statements are made as of April 6, 2011, and the parties undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. |
Contact: Marriott International, Inc. www.marriott.com |