Oberoi Hotels to open its first hotel in London by 2028, plans to set up new subsidiary in UK

Oberoi Hotels’ parent company EIH has announced its plans to establish a presence in London, UK, with a new Oberoi Hotel by March 2028. The company plans to incorporate a new entity in the UK with an authorised share capital of £30m ($39.63m), with EIH and its subsidiaries holding a 51 percent stake.  

Last August, Reliance Industries (RIL), which holds an 18 percent stake in EIH, announced a joint venture with Oberoi to manage three properties, including one in the UK. 

Oberoi’s UK entry assumes significance for Indian hospitality brands in London, where the Taj Group currently operates two hotels. India-based Hinduja Group has also ventured into London’s luxury hotel market by transforming Winston Churchill’s former Old War Office. 

Meanwhile, Oberoi Hotels group will also acquire stake in a Pune-based company for Rs 254 crore. The investment will support the development of a mixed-use project, which includes a Trident Hotel and a commercial complex, with a total project cost of Rs 972 crore. 

EIH Ltd, the flagship company of the Oberoi group, will acquire a 51 percent equity stake in Pune-based Muttha Towers II Pvt Ltd a hospitality and commercial real estate firm, which had total assets worth Rs 175 crore as of March end.  

“Investment in the target company will enable (EIH Ltd) to expand its business operations,” said EIH in a filing to stock exchanges. The target company was incorporated in 2019, and owns a parcel of land measuring 1.7 acres, said EIH. 

The proposed Trident Hotel will be spread over 1.81 lakh square feet. The proposed commercial complex will have office spaces and food and beverage focused retail outlets spread over 4.08 lakh square feet, according to the filing. The commercial operations of the development are expected to commence in Q1 of FY 2029-30, said EIH.