Lemon Tree Hotels Limited , a leading hospitality company in India, has announced significant expansions to its portfolio with new properties in Uttar Pradesh, Madhya Pradesh, and Andhra Pradesh.

New Agreements in Uttar Pradesh and Madhya Pradesh

Lemon Tree Hotels has signed two new agreements:

1. A Franchise Agreement for Keys Prima by Lemon Tree Hotels in Varanasi, Uttar Pradesh:

   • 153 rooms
   • Amenities include a restaurant, banquets, conference room, swimming pool, fitness center, and spa

2. A License Agreement for Keys Select by Lemon Tree Hotels in Rewa, Madhya Pradesh:

   • 50 rooms
   • Two restaurants, a banquet hall, and a swimming pool
   • To be managed by Carnation Hotels Private Limited, a wholly-owned subsidiary of Lemon Tree Hotels Limited

CEO Vilas Pawar stated that this expansion aligns with the company's vision of becoming the most preferred hospitality chain across different segments in the Hindi heartland.

Fifth Property in Andhra Pradesh

In addition to the above expansions, Lemon Tree Hotels has launched its fifth property in Andhra Pradesh:

• Location: Krishna, Vijayawada (third property in the city)
• Brand: Keys Lite by Lemon Tree Hotels
• Features:
  • 44 well-appointed rooms
  • A multi-cuisine restaurant named Keys Café
  • A boardroom for business meetings
  • Efficient service and an affordable value proposition

Strategic Expansion

These new additions to Lemon Tree Hotels' portfolio demonstrate the company's commitment to expanding its presence in key markets across India. Vijayawada, known for its rapid urbanization and strategic location, presents a promising opportunity for the hospitality sector.

About Vijayawada

Vijayawada, the location of the new Andhra Pradesh property, is a city rich in cultural heritage and modern development:

• Home to the iconic Kanaka Durga Temple, a revered pilgrimage site
• Features the Prakasam Barrage spanning the Krishna River
• Known for its educational institutions and vibrant cuisine
• Offers a blend of deep-rooted traditions and evolving urban landscape

Lemon Tree Hotels' Growing Portfolio

With these new openings, Lemon Tree Hotels continues to strengthen its position in the Indian hospitality market:

• Operates over 120 hotels across 75+ cities in India and abroad
• Offers seven distinct brands catering to various customer segments
• Serves more than 1.5 million guests annually
• Has a pipeline of 110+ upcoming properties

The launch of these new properties underscores the company's expansion strategy and its focus on tapping into the potential of emerging cities in India. As Lemon Tree Hotels continues to grow its footprint, it remains committed to delivering consistent quality and a warm, refreshing experience to its guests across various market segments.

Lemon Tree Hotels Limited , a prominent player in the Indian hospitality sector, has recently made two significant announcements that could impact its operations and corporate structure.

High Court Order on Municipal Tax Dispute

Hyacinth Hotels Private Limited, a subsidiary of Lemon Tree Hotels, has received an order from the Delhi High Court regarding a long-standing tax dispute with the Municipal Corporation of Delhi (MCD). The case stems from an assessment order dated December 23, 2013, which demanded Rs. 68.20 lakh in taxes for the period 2009-10 to 2013-14.

The Delhi High Court pronounced its judgment on September 12, disposing of the writ petition filed by Hyacinth Hotels. The subsidiary received the court order on September 16. In response to this development, Lemon Tree Hotels has stated that there is no material impact on its financial operations. However, Hyacinth Hotels is currently evaluating available legal remedies and intends to take appropriate legal action in due course.

Proposed Relocation of Registered Office

In a separate development, the Board of Directors of Lemon Tree Hotels Limited, in a meeting held on September 17, approved a proposal to shift the company's registered office. The plan involves moving the registered office from the National Capital Territory of Delhi to the State of Haryana.

This decision will necessitate a consequential alteration of the Registered Office clause in the company's Memorandum of Association. It's important to note that this change is subject to shareholder approval and other appropriate statutory approvals.

Implications and Next Steps

While the tax dispute resolution for its subsidiary Hyacinth Hotels is ongoing, Lemon Tree Hotels maintains that it does not expect any material financial impact from this issue. The company's decision to relocate its registered office, however, could have operational and administrative implications.

Shareholders and stakeholders should stay tuned for further updates, as both the tax dispute resolution and the office relocation process unfold. The company is expected to provide more details on the office relocation plan, including the rationale behind the move and its potential benefits, in the coming weeks.

Lemon Tree Hotels continues to navigate these corporate and legal challenges while maintaining its focus on its core hospitality business. The outcomes of these developments will be closely watched by investors and industry observers alike.