Sterling Holiday to Spend $10.8 Million to Build Resort, Expand Properties
Sterling Holiday Resorts (India) Ltd., India’s second-largest operator of time-share vacations by market value, plans to spend about 500 million rupees ($10.8 million) to develop a new property and expand its hotels
The company is searching for a location for the resort, Head of Marketing Lata Subramanian said in an interview. The company has more than 115,000 customers, she said.
Sterling is expanding to tap a 25 percent increase in demand for time-share vacations, Subramanian said. Faster economic growth and rising salaries in the world’s second-most populated nation is encouraging Indians to spend more on leisure activities boosting demand for hotels and cinemas.
The company based in Chennai has added 200 workers to “beef up,” its operations, Subramanian said.
Sterling shares rose 2.4 percent to 104.9 rupees in Mumbai yesterday. The stock has surged 44 percent this year compared with a 4.7 percent gain for the benchmark Bombay Stock Exchange Sensitive Index.
India’s $1.2 trillion economy may expand 8.5 percent in the year ending March 31 and 9 percent the following year, according to Finance Minister Pranab Mukherjee.