According to newspaper reports, the Indian Hotels Company (IHC) is planning to sell off its holding in the 'Birdy's' snack food chain. The move follows the continued lacklustre performance of this investment over the years.
IHC has been in a restructuring mode for quite sometime. It has been selling off properties in the American market even as it concentrates on the Indian sub continent. The company has also been trying to shed off its flab in a move to improve profitability. This has become essential as the Indian market is becoming more competitive, added to which is the slow growth of tourism.
The decision to sell off its entire stake in 'Birdy's' will benefit the company as it would bring in a business focus. Moreover, there would be an inflow of cash resources, albeit marginal compared to the company's size.
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