Private Equity

Private Equity Fund Investments

Cerebrus Capital to lend Rs.285-Cr to Barque Hotels

Economic Times  

Goldman Sachs-backed SAMHI Hotels has provided INR 83 crore of quasi-equity to Barque Hotels Pvt Ltd to keep the operator of Holiday Inn Express chain of hotels afloat. In addition, Cerberus Capital has extended an INR 285 crore rescue finance to prevent a possible default. Sarvara Investment Fund, a fund managed by Cerberus Capital, invested in non-convertible debentures (NCDs) issued by Barque with an IRR (internal rate of return) of 21.3%. Barque Hotels used the four-year debt facility from Cerberus Capital to repay an INR 300 crore loan it had availed of from IL&FS Financial Service (IFIN). SAMHI Hotels, the holding company of Barque Hotels, invested INR 83.28 crore in fully compulsorily convertible debentures (CCDs). Barque has a portfolio of 13 hotels with 1,792 rooms and accounts for nearly 40% of SAMHI Hotels' room inventory.