Concept Hospitality has signed up to manage 15 hotels scheduled to open by 2012-13 under its brand 'The Fern' and is targeting about 67 per cent growth in revenue this fiscal at Rs 200 crore,a top executive has said. "We have signed contracts to manage 15 hotels across the country,with 600 rooms to be operational under our brand 'The Fern' by FY2012-13. The brand is owned by us and specialises as environmentally-sensitive hotels," Concept Chairman and Managing Director Param Kannampilly said. Concept,which is present in all the metros,is now expanding more in Tier II and III cities,where the opportunities are growing,he said. The company,which posted Rs 120-crore revenue in 2010- 11,is well on track to achieve its target of Rs 200 crore in the current financial year,Kannampilly added. Concept wants to focus on managing properties instead of owning them. "We do not plan to own any property. We will continue to focus on managing properties." At present,the company is managing 13 hotels,falling under five star,four star and resorts categories,with over 1,207 rooms across India,out which 650 rooms are under 'The Fern',he said. The firm,which enjoys 60-70 per cent occupancy,is mulling over the possibility of entering the capital market. "We have no immediate plans to bring put an IPO. However,it is an option,which we may have to consider,when the private equity fund that holds 26 per cent stake in the company decides to exit," Kannampilly said. The company is also looking at overseas presence and is in talks with three developers in Bangladesh,South Africa and Tanzania for managing properties. "We are in talks with three developers for managing their properties. In Bangladesh,the talks are for joint venture in managing the property,in South Africa it is for managing a four star property and in Tanzania it is for managing a city-based resort," Kannampilly said. If everything falls into place the company will start its overseas journey by 2012-13,he said. To manage the expanding properties,the company will hire about 1,000 employees by FY2012-13. "We provide our employees with two-year management training programme and competitive package. This helps in checking the attrition rate,which is 7-8 per cent in the industry," Kannampilly added. The company is in the process of launching a web-based training programme for its employees,so that they study at their convenience without hampering their work schedule,he said.
