Life
Oriental Hotels Snubs Tatas
The Tata’s are seeking a a “formal apology” from Orient-Express Hotels (OEH) chief executive Paul White who snubbed a bid for the global super-luxury chain with the comment that a tie-up with the “predominantly domestic Indian” hotels chain would erode its brand image.
Taj Hotels Vice Chairman R.K. Krishna Kumar protested to White that his comments were “pejorative, inaccurate and libelous,” adding: “We ask that OEH publish a formal apology to Taj Hotels…. Taj Hotels is a proud Indian company, and it will persevere with its global expansion strategy. Indian companies will continue to play a meaningful role in the global economic integration and in that environment will take their rightful place in the international arena.” The Taj Hotel group has bought a 11.5% stake in OEH, a U.S. based luxury hotel chain, and unsuccessfully sought a partnership with the company. White rejected those overtures, arguing that an association with the Taj Hotels, which owns 59 hotels, including 17 outside India, would erode the OEH brand and adversely impact its premium propertiess: “We do not believe that there is a strategic fit between your predominantly domestic Indian hotel chain and our global portfolio of luxury hotels and unique travel experiences, and we do not wish to be involved in an attempt to improve the performance of your non-Indian properties.” |
