The mega-merger between Chennai-headquartered Oriental Hotels and Tata Group's Indian Hotels Company (IHCL) is likely to be EPS accretive and enhance operational efficiency, according to brokerages that remain bullish on IHCL’s share price.
The share swap ratio for one of the biggest mergers in India’s hospitality industry announced this year has been fixed at 25:117. This means that Oriental Hotels shareholders will receive 25 shares of IHCL for every 117 shares held in Oriental Hotels as of the record date, subject to statutory approvals and clearances.
