Lemon Tree Hotels signs Keys Prima franchise in Jaipur

Lemon Tree Hotels has signed a franchise agreement for Keys Prima by Lemon Tree Hotels, Jaipur, reinforcing its asset-light expansion strategy in Rajasthan. The new property will feature 88 well-appointed rooms, a restaurant, banquet and conference facilities, a fitness centre, and modern public spaces catering to both business and leisure travellers. This signing takes the company's total portfolio in Rajasthan to 23 hotels, comprising 13 operational and 10 upcoming properties.

Strategic Expansion in Jaipur

The addition of this property brings Lemon Tree Hotels' city-wide presence in Jaipur to six hotels, including three operational and three upcoming properties. Strategically located at Swarna Bhoomi, Sirsi Road, near Sirsi Mode, Khatipura, the hotel offers excellent connectivity to key transit hubs. It is situated approximately 20 km from Jaipur International Airport and around 11 km from Jaipur Junction Railway Station.

Property and Brand Details

The Keys Prima brand is positioned as an upper-midscale lifestyle offering within the company's portfolio. The following table summarises the key parameters of the announced franchise agreement:

Parameter:	Details
Brand:	Keys Prima
Property Type:	Franchise Agreement
Number of Rooms:	88
Location:	Jaipur

Mr. Neelendra Singh, Managing Director, Lemon Tree Hotels Ltd., stated that the expansion reflects a deliberate strategy of building strong regional clusters in high-potential markets. The introduction of Keys Prima in Jaipur broadens the company's brand portfolio in the city, catering to experience-conscious yet value-driven travellers.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-1.07%	-3.90%	-11.28%	-35.22%	-24.30%	+150.48%

Fleur Hotels Limited, a material subsidiary of Lemon Tree Hotels Limited , received an order from the Customs, Excise and Service Tax Appellate Tribunal, Hyderabad, on June 03, 2026, confirming a service tax demand of ₹33,54,487 along with a penalty. The order pertains to the period from July 2012 to March 2013 and was issued under Section 76 and 77(2) of the Finance Act, 1994. There is no material impact on the financial operations of the listed entity beyond the specified monetary amount.

The tribunal upheld the demand regarding the alleged wrongful availment of CENVAT credit on Maintenance and Repair Service, Internet Service, and Courier Service. The disclosure was submitted under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Details of the Order

The following table outlines the key details of the regulatory order:

Sr. No.	Details of Events	Information of such events
i.	Name of the Authority	Customs, Excise and Service Tax Appellate Tribunal, Regional Bench at Hyderabad
ii.	Nature and details of the action(s) taken or order(s) passed	Order has been received from the Authority in respect of confirming the demand of Service tax of ₹33,54,487/-, along with penalty under Section 76 and 77(2) of the Finance Act, 1994 for the period July, 2012 to March, 2013.
iii.	Date of receipt of direction or order	The Order has been received on June 03, 2026.
iv.	Details of the violation(s)/contravention(s) committed or alleged to be committed	CENVAT Credit wrongly availed on Maintenance and Repair Service, Internet Service and Courier Service.
v.	Impact on financial, operation or other activities	There is no material impact on financial operation except to the extent of amount specified in point no. ii. above.

Legal Response

Fleur Hotels Limited is currently evaluating the available legal remedies concerning the order. The subsidiary stated that it will take appropriate legal action in due course to address the demand and penalty imposed by the tribunal.