Share price of this micro-cap real estate stock moved up by 2.7 percent on BSE to hit an intraday high at Rs. 1,044.05 in the trading session of Thursday, after signing a management agreement with a global hospitability company.
With a market capitalisation of Rs. 23,915.2 crore, at 02:04 p.m., the shares of Brigade Enterprises Limited were trading in the green at Rs. 1,034.85, up by 1.8 percent.
According to the recent regulatory filings on the stock exchanges, Brigade Group and IHG Hotels & Resorts announced the signing of a management agreement to launch the first InterContinental brand in Telangana, under the name of ‘InterContinental Hyderabad Neopolis’.
The InterContinental Hyderabad Neopolis is expected to be an integral part of the Brigade’s upcoming mixed-use development and is scheduled to open in the year 2029.
Once opened, the property is proposed to have 300 rooms with 5 dining options, including a signature restaurant, 2 specialty restaurants, and a lobby lounge.
The hotel is also proposed to offer conferencing facilities, a fitness centre, a spa, a swimming pool, an outdoor recreation area and a retail outlet.
“After Holiday Inn Chennai OMR IT Expressway, Holiday Inn Bengaluru Racecourse and Holiday Inn Express & Suites Bengaluru OMR, this will be our fourth hotel in partnership with IHG,” said the Joint Managing Director of Brigade Enterprises Limited.
With this agreement, IHG’s strategy is to expand its luxury and lifestyle portfolio in India and Brigade plans to develop its hospitality footprint in Hyderabad.
IHG Hotels & Resorts is a global hospitality company and one of the world’s leading hotel companies, IHG has over 6,200 open hotels in more than 100 countries, and nearly 2,000 in the development pipeline.
InterContinental Hotels Group PLC is the Group’s holding company and is incorporated and registered in England and Wales.
In terms of financials, the revenue from operations grew by around 43.2 percent from Rs. 820 crore in Q3 FY22-23 to Rs. 1,174 crore in Q3 FY23-24, accompanied by an increase in the net profit of 30.2 percent to Rs. 56 crore in Q3 FY23-24 from Rs. 43 crore in Q3 FY22-23.
As of March 2024, FIIs hold 14.86 percent of the shares, whereas DIIs hold 23.84 percent of the shares in the company, aggregating to 38.7 percent of the institutional holdings.
The company has delivered positive returns of about 73.5 percent in the last six months, whereas nearly 110.7 percent of multibagger returns in the last one year. So far in 2024, it has given around 16.2 percent of positive returns.
Established in 1986, Brigade Enterprises Ltd. is one of India’s leading property developers operating in segments like real estate, hospitality and leasing.
Written by Shivani Singh
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