Debt Restructuring
By Vijay Thacker on November 19, 2020
Restructuring Hotels – Distress and De-Stress
Hotels and hotel owners in India have been impacted by disruptions to operations and demand, arising from the Covid pandemic. Hotels are capital intensive; substantial supply addition in the last 5 years means that the debt burden is sizeable and debt service is challenged.
This Industry Report by Horwath HTL India highlights restructuring challenges, and possibilities for owner, lenders and potential investors or buyers of assets. Valuation gaps can have varied depth, depending upon the extent of distress or a goal of de-stress. Careful strategic evaluation can help create operational, financial and investment value.