Agarwal told CNBC-TV18, "Lot of action from the private equity fund and the mutual fund side has been seen in the hotel sector as you said Reliance has taken stake in Oriental Hotels so there seems to be action on the hotel front as such. But I would like to add as most of the billing in the hotel sector comes in foreign exchange and with rupee being stronger; I think there will be pressure on margin. "
He further added, "The Oriental Hotels has been on a very strong footing; they have around seven hotels in southern part of the country out of which they hold five and two hotels are on lease. Things are going well there and going for an expansion of rooms also and the kind of shortage we seeing in the rooms and the ARR going up; I think there are good prospects only the fear is on dollar front but still one can hold on to Oriental Hotels with a target of Rs 425-450."
