Oriental Hotels Ltd approved a $1.764 million rights issue investment in its wholly-owned subsidiary OHL International (HK) Limited. The funds will be directed to St. James Court Hotels Ltd for debt repayment, strengthening the group’s international financial position. The transaction will complete by November 7, 2025.
Oriental Hotels Ltd, a key player in the hospitality sector, has taken a strategic step to enhance its international financial structure by investing USD 1.764 million in its wholly-owned subsidiary, OHL International (HK) Limited (OIHK). This decision was approved by the company's Investment Committee on October 23, 2025, following the Board of Directors’ endorsement.
The investment involves subscribing to a rights issue by acquiring 63,000 equity shares at an issue price of USD 28 per share, including a premium of USD 18 over the face value of USD 10. Notably, this capital infusion is targeted at St. James Court Hotels Ltd, with the primary objective being the repayment of debt in this entity, which is expected to improve the financial stability and operational efficiency of Oriental Hotels Group’s international portfolio.
Key Highlights:
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The investment is a cash subscription to the rights issue of OIHK, maintaining Oriental Hotels’ 100% ownership in the subsidiary.
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OIHK, incorporated in 1994, operates in the hospitality industry with a presence in Hong Kong and has recorded variable turnover in recent years, with USD 245,988 in FY2024-2025.
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No related party transactions are involved, and there is no promoter or group interest influencing this investment.
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The investment will help reduce debt at St. James Court Hotels Ltd, improving financial health.
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No governmental or regulatory approvals are required for this transaction.
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The acquisition process will conclude by November 7, 2025.
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The rights issue price consists of a face value of USD 10 and a premium of USD 18, totaling USD 28 per share.
This move reflects Oriental Hotels' commitment to consolidating its financial operations internationally and optimizing its capital structure. By channeling funds for debt repayment through its Hong Kong subsidiary, the company aims to strengthen its debt profile and enhance future growth prospects in the global hospitality market.
Source : NSE Corporate Filings, Reuters, Market Screener, Oriental Hotels Ltd official announcement