Lemon Tree Hotels Ltd.LEMONTREEMixedNotablemateriality 63 out of 100
Lemon Tree signs Aurika Shillong JV, retaining 51% ownership while RJ Corp acquires 49% of Arum
Businessjoint venture
As filed
Lemon Tree Hotels Limited has informed the Exchange about Joint Venture Agreement has been executed between Carnation Hotels Private Limited, a wholly owned subsidiary of the Company and RJ Corp Limit
Why it matters
CapitSignal interpretationThe transaction brings RJ Corp in as a 49% partner in the Aurika Shillong project while Lemon Tree retains majority ownership. However, the board of Arum will comprise an equal number of directors nominated by Carnation and RJ Corp, creating shared governance despite Carnation’s majority stake.