Lemon Tree Hotels Shares Soar on Warburg-Led Restructuring, Brokerages See Value Unlocking

• Lemon Tree Hotels shares jumped nearly 2% after a major restructuring plan and Warburg Pincus's entry.
• The restructuring splits the group into an asset-light Lemon Tree Hotels and an asset-heavy Fleur Hotels.
• Warburg Pincus acquired APG's 41.09% stake in Fleur Hotels and committed Rs 960 crore for future expansion.
• Post-restructuring, Lemon Tree shareholders will own 32.96% of Fleur, with Lemon Tree holding 41.03% and Warburg Pincus 26.01%.
• Brokerages like Nuvama (target Rs 178) and Investec (target Rs 187) issued 'Buy' ratings, citing sharper focus and value unlocking.

Why It Matters: Lemon Tree Hotels' restructuring with Warburg Pincus is expected to unlock significant value and improve capital structure.