ITC Hotels has completed the full acquisition of The Zuri Kumarakom, Kerala Resort & Spa through a ₹205 crore enterprise value transaction on cash-free, debt-free terms. According to latest reports, the company acquired 100% stake in Zuri Hotels & Resorts (ZHRPL), which owns the luxury resort, on a debt-free and cash-free basis. The acquisition marks ITC Hotels' entry into owned resort operations in Kerala and strengthens its luxury hospitality portfolio in one of India's fastest-growing leisure destinations. The transaction is expected to be completed over the next few days, subject to customary closing adjustments. Speaking on the development, Anil Chadha, Managing Director, ITC Hotels Limited, emphasized that the acquisition of this exclusive property in Kumarakom marks a strategic cornerstone in their journey to expand ITC Hotels' footprint into one of India's most sought-after leisure destinations. As reported by Business Standard, Chadha stated that the acquisition represents a strategic cornerstone in expanding ITC Hotels' footprint into one of India's most sought-after leisure destinations. Kumarakom, often referred to as the 'Crown Jewel' of Kerala, is internationally known for its tranquil backwaters, lush greenery and Ayurvedic wellness tourism, making it one of the state's premier luxury travel destinations.
The acquired resort is strategically located on 18 acres of lush landscaped greenery along the serene banks of Vembanad Lake, offering panoramic views and private waterfront frontage. As reported by Business Standard, the property is located approximately 70 km from Cochin and serves as an accessible luxury destination for both international and domestic travellers. The resort features 72 keys including 38 villas and cottages, designed around a 5-acre man-made lagoon that mirrors Kerala's backwaters. Following extensive renovations, the property will be rebranded under the ITC Hotels brand portfolio, reflecting its 'Rooted in the Soil' philosophy by incorporating Kerala-inspired architecture, traditional woodcraft, and local stonework. The redesigned resort would reflect the company's commitment to deliver authentic experiences that define the future of Indian hospitality, with the integration of globally recognised culinary excellence and world-class Ayurvedic wellness offerings.
The resort provides a comprehensive luxury experience with multiple dining venues, event spaces, and approximately 20,000 sq.ft. of spa and wellness facilities. According to Business Standard, the property offers a seamless blend of traditional Kerala architecture with contemporary luxury amenities. ITC Hotels expects the integration of its culinary platforms, Club ITC loyalty ecosystem, guest services, and distribution network to significantly enhance the property's positioning in the luxury leisure and MICE segments. The company anticipates that stabilized revenues from the resort are expected to reach nearly three times current levels while remaining margin accretive to its portfolio. The property also houses multiple dining venues, event spaces and nearly 20,000 sq ft of spa and wellness facilities, providing comprehensive luxury experiences for guests.
The acquisition is expected to diversify revenue streams across leisure tourism, wellness, destination weddings, corporate retreats, and MICE activities. Speaking on the development, Anil Chadha, Managing Director, ITC Hotels Limited, emphasized that by integrating this iconic resort into their portfolio, they aim to elevate the guest experience through their globally recognised culinary excellence and world-class Ayurvedic wellness offerings. The move reinforces their commitment to deliver authentic experiences that define the future of Indian hospitality. Kumarakom continues to attract strong domestic and international tourism demand, particularly in wellness, experiential luxury, and eco-tourism segments, making it a strategic market for premium hospitality expansion. The acquisition strengthens ITC Hotels' luxury hospitality portfolio and positions the company for enhanced growth in India's high-growth luxury leisure segment.
ITC Hotels share price responded positively to the acquisition announcement, with the stock closing at ₹157.29 per share on May 15, 2026, reflecting a 1.25% surge from the previous closing price. As per exchange filings, the market reaction reflects investor confidence in the company's strategic expansion into Kerala's premium backwater tourism market. The ₹205 crore acquisition strengthens ITC Hotels' luxury hospitality portfolio and positions the company for enhanced growth in India's high-growth luxury leisure segment. Additionally, ITC Hotels reported strong financial performance with consolidated net profit rising 23.1% to ₹317.43 crore for the March quarter, compared to ₹257.85 crore in the previous year. Revenue from operations grew 18.2% to ₹1,253.7 crore from ₹1,060.6 crore year-ago period. The company's board has recommended a dividend of ₹1 per share for financial year ended March 31, 2026, with Thursday, May 21, 2026 fixed as the record date for shareholder entitlement.
