As on date, CCHHL has cleared 98% of whole debt. The remaining ₹15 crore might be cleared quickly. Besides, it has a time period mortgage in lieu of mounted deposit.
| Photo Credit: Company web site
Country Club Hospitality and Holidays Ltd., (CCHHL) is now virtually a debt free firm, stated its Chairman and Managing Director Y. Rajeev Reddy.
“It is a remarkable comeback for a ₹600-crore debt ridden Hyderabad company that too in the hospitality sector where most of the hotels are under stress post COVID,” he stated in an interview.
As on date, CCHHL has cleared 98% of whole debt. The remaining ₹15 crore might be cleared quickly. Besides, it has a time period mortgage in lieu of mounted deposit.
According to him, the hospitality main deliberate to develop into a debt free by December 2023, nevertheless it was extended by two-three months on account of a delay in closure of sure offers.
“We cleared major debts by selling non-core assets in India and abroad over the last two-three years. From now on, we are not going to sell any more assets,” he stated.
As a part of the growth plan, Mr. Reddy stated that they’ve forayed into the true property phase to assemble two million sq.ft., of business and residential house in Bengaluru and Hyderabad.
The first venture, a residential complicated in Doddaballapur close to Bengaluru referred to as Osadia Garden City might be launched in six months.
“It is like going back to the roots after two decades. It is a 145-flat residential complex spread over half-a-million sq. ft., costing ₹44 crore. About 70-80% of the project work is over,” stated CFO Ram Kumar.
CCHHL, which has collectively two million members, is planning to extend the numbers over the subsequent 4-5 years by means of natural and inorganic routes.
The firm reported Q3 standalone loss narrowed all the way down to ₹3 crore from ₹6 crore. Revenue from operations contracted to ₹13 crore from ₹16 crore.
“The losses have come down substantially due to rise in occupancy rates in our properties in Bandipur, Kodaikanal and Hyderabad. We will become cash positive soon,” Mr. Reddy stated.
