Sarovar Hotels & Zuri Group eye East Africa for business expansion

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3 Nov 2010
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East Africa has emerged as a business opportunity for hospitality majors like Sarovar Hotels and Zuri Group. According to a report by Meenakshi Verma Ambwani in The Economic Times, Mumbai-based Sarovar Hotels is primarily looking at management contracts whereas Bengaluru-based Zuri Hotels & Resorts is looking at constructing hotels in the region.

“Africa is a key market where a lot of Indian companies are expanding, and we are looking to cater to this growing demand,” said Ajay Bakaya, Executive Director, Sarovar Hotels. Sarovar Hotels runs brands like Sarovar Portico, Ahmedabad; Hometel, Chandigarh; and Sarovar Premiere, Mumbai; besides American hotel company Carlson's brands like Park Inn and Park Plaza. The company is already operating two hotels in Dar es Salaam (New Africa Hotel) and Nairobi (Ole Sereni) positioned as upscale hotels.

The Zuri Group already operates a resort in Mombasa, Kenya known as Diani Reef Beach Resort & Spa. Funds will be raised in the Kenyan market beside internal accruals for expansion into other markets. In India, the company runs four hotels and have plans to expand through management contracts. “Africa is a high growth market which is at a stage where India was about ten years ago. We see a huge potential in East Africa, and plan to build six to seven hotels positioned in the five-star business category,” said Bobby Kamani, Managing Director, Zuri Hotels & Resorts.
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