Bennett Coleman invests Rs 3.25 crore in Treebo
With the funding, the media conglomerate will hold 5.58 per cent of the hotel chain's shares
Budget-friendly hotel chain Treebo has reportedly received funding from the media giant Bennett Coleman and Co Limited (BCCL). Media reports suggest that the chain will raise Rs 3.25 crore from BCCL.
As per a separate regulatory filing, Treebo will allot one equity share worth Rs 1,55,741 each and five share warrants valued at Rs 65 lakh each. The company’s board has also approved the private placement offer. BCCL will hold 5.58 per cent of Treebo’s shares.
Among Treebo’s shareholders are Matrix and SAIF who are the biggest, holding 19 per cent shares each. Founders Siddharth Gupta and Rahul Chaudhary hold 13. 35 per cent each.
Despite intense competition from in the budget hotel segment and the presence of the Softbank bankrolled OYO, companies like Treebo have still managed to see growth in their revenue and marginal losses in FY19.
