Spice Lounge Food Works share price touched 5% upper circuit limit during Friday’s session, despite a lackluster trend in the Indian stock market. Shares of Spice Lounge Food Works have garnered attention in the recent few days, following the board of directors’ approval for a foray into luxury hospitality, which includes the acquisition of Rightfest Hospitality LLP and the consideration of acquiring a majority stake in Blackstone Management LLC.
On October 28, the Board of Directors of Spice Lounge Food Works convened to review and approve two significant proposals aimed at entering the luxury hospitality sector.
The board passed a resolution to acquire a 100% stake in M/s Rightfest Hospitality. This share acquisition is expected to be finalized within a year from the signing of the agreements.
Rightfest Hospitality LLP runs prestigious lifestyle venues such as SALUD in Goa and XORA Bar & Kitchen in Hyderabad.
“The acquisition is strategically vital and is expected to promote growth opportunities aligned with horizontal business expansion and revenue enhancement. This highlights SLFWL’s intention to extend its reach beyond culinary expertise into the upscale nightlife and experiential entertainment sector, which is experiencing rapid growth in metropolitan areas and tourist hotspots,” stated Spice Lounge Food Works.
The Board of Directors of Spice Lounge Food Works Ltd has appointed Mr. Mohan Babu Karjela to manage and complete the acquisition process and related formalities in collaboration with the committee established for this purpose, it added.
Potential acquisition of majority stake in Blackstone Management LLC
The board of the company has also given Chairman Mohan Babu Karjela the authority to assess a potential acquisition of a majority stake in Blackstone Management LLC. Mohan Babu Karjela has been authorized to negotiate investment conditions and finalize the deal in collaboration with legal, financial, and strategic advisors, according to the company.
(more to come)