Hyatt Regency Mumbai on Monday said it has shut its Mumbai property due to the financial crunch facing its asset owner Asian Hotels (West). The five star property issued a notice informing the staff on its roll that no funds are being infused from the property owner to meet the operational expenses of the hotel including payment of salaries. The hotel, therefore, has to be closed until further notice.
“As a result of no funds forthcoming from Asian Hotels to sustain the operations of the hotel, a decision has been taken to temporarily suspend all operations for Hyatt Regency Mumbai. The hotel will remain closed until further notice,” said Sunjae Sharma, Vice President & Country Head – India, Hyatt in a statement. “At Hyatt, our guests and colleagues are a top priority, and we are working closely with the hotel’s owner to resolve this situation,” he said.
Hyatt is managing the property in Mumbai on a contract basis on behalf of Asian Hotels. Sushil Kumar Gupta is the chairman and managing director of Asian Hotels. On May 28, in a notification to the Bombay Stock Exchange, Asian Hotels said it has defaulted on an interest payment of Rs 4.32 crore to its lender Yes Bank. Total financial indebtedness of the listed entity including short-term and long term debt stood at Rs 262.54 crore as on May 1, 2021
Hyatt is an American hospitality brand that manages and franchises hotels. Located near Mumbai’s international airport, the hotel said that it will not accept reservations through Hyatt booking channels and will remain temporarily unavailable.
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
RECOMMENDED FOR YOU