Hilton International Co, the prominent US-based hospitality firm, is contemplating the introduction of additional global brands, including its luxury chains Waldorf Astoria and Conrad, into the Indian market.
Photo by MelkirThe company's endeavors to expand in India have gained momentum particularly since establishing a joint venture with the Indian real estate giant DLF back in 2006-07, wherein Hilton acquired a 26% stake. Initially, this partnership announced ambitious plans to invest $1.5 billion to develop between 50 and 75 properties across the nation in the coming years. Recent reports indicate that Hilton has now asked for permission to invest in or take stakes in other Indian hospitality companies as well.
As per various official sources, Hilton International has requested approval from the Foreign Investment Promotion Board (FIPB) to expedite the introduction of its brands like Doubletree and Hampton by Hilton, along with Waldorf Astoria and Conrad. This request, however, was deferred during a recent FIPB meeting held last month.
The company's application seeks a modification of the existing FIPB approval, which currently permits the joint venture with DLF to operate four of its brands within India. Under this agreement, Hilton operates serviced apartments through Hilton Residences and Homewood Suites, in addition to the Hilton and Hilton Garden Inn service segments.
In its submission to the FIPB, the hospitality giant also expressed a desire to invest in or gain equity in other Indian firms operating within the hospitality and tourism sectors.
“The existing joint venture remains on course. The new partnerships will relate to other brands that the company plans to introduce in India,” stated company sources.
Hilton Worldwide boasts a remarkable global revenue exceeding $8 billion and currently manages over 3,200 properties across 80 countries. Its extensive portfolio includes over a dozen well-known brands.
In India, Hilton currently operates two hotels in Delhi: one falling under the joint venture and the other under a franchise arrangement with a local partner.
With numerous global corporations eyeing expansion into India in the near future, the country’s economy appears to be thriving.