Orient-Express rejects Tata`s alliance offer
Orient-Express rejects Tata`s alliance offer Orient-Express Hotels has rejected Tata Group`s offer to forge a strategic alliance with it, reports Business Standard. Indian Hotel Company (IHCL), a Tata subsidiary which runs the Taj chain of luxury hotels, had yesterday (September 18) announced the acquisition of a 10% stake in Orient-Express as a commitment, to form an alliance. Orient-Express CEO, Paul M White has sent a letter saying the Orient-Express board did not wish to pursue the alliance proposal. Indian Hotels (Q, N,C,F)* wanted to form an alliance aimed at leveraging global networks and building brand equity for both the companies. It is said that the Tata conglomerate will meet the Orient-Express brass shortly to explain its position. >It is also said that the Tata`s move to acquire a 10% stake was interpreted by Orient-Express as a precursor to an eventual takeover attempt and Orient-Express, therefore, did not welcome the Tatas` alliance proposal. Shares of Indian hotels declined Rs 0.20, or 0.15%, to end at Rs 129.45. The total volume of shares traded was 592,479 at the BSE (Tuesday).
