Lemon Tree Hotels Limited has announced the successful consummation of a major transaction involving its material subsidiary, Fleur Hotels Limited (FHL). Coastal Cedar Investments B.V. has officially acquired a 41.09% equity stake in FHL as of May 22, 2026. This milestone follows the execution of a share purchase agreement initially signed earlier this year, ensuring that FHL remains a subsidiary of the parent company while transitioning to a new shareholder agreement structure.
Transaction Completion Details
On May 22, 2026, Lemon Tree Hotels Limited confirmed that the transaction involving Fleur Hotels Limited (FHL) has been finalized. Coastal Cedar Investments B.V., serving as the Investor, successfully completed the acquisition of 41.09% of FHL’s total equity share capital. The deal was executed under the terms previously outlined in the January 9, 2026, share purchase agreement, marking a pivotal moment in the company’s capital strategy.
Continuity of Control
Despite the significant shift in equity ownership, Lemon Tree Hotels Limited has clarified that the transaction does not impact the percentage of the company’s equity shareholding in FHL. Fleur Hotels Limited will continue to operate as a subsidiary of the company. The consummation of this deal marks a transition in the underlying governance framework for FHL, with the termination of the 2012 shareholder agreement and the official commencement of the new agreement effective May 22, 2026.
Strategic Governance Update
The transition involves key stakeholders including APG Strategic Real Estate Pool N.V., the Promoter, and Spank Management Services Private Limited. With the termination of the legacy subscription and shareholders’ agreement—which included amendments from June 2024 and September 2025—the entity has moved into a refreshed governance phase to support its ongoing hospitality operations.
Source: BSE
