Prince Mathews Thomas Moneycontrol News
Analjit Singh comes across as a born hotelier. Flawlessly dressed, his black turban done right and beard well groomed, Singh is known for his eye for detail. His house in the tony neighbourhood of Lutyen’s Delhi - which the writer had visited - is an extension of his personality. A shaded driveway leads to a tastefully done villa. Overlooking is a huge manicured lawn. Inside, the interiors are classy without being ostentatious.
Singh has been vocal about his interest in the hospitality industry. At the turn of the century, as he transformed the Max Group into a service conglomerate, hospitality was one industry he had prioritised. An opportunity did come, in 2009, in the form of EIH Limited, owner of the iconic Oberoi hotels but talks fell through.
A year later, it was while in South Africa - where he and his family were following the football World Cup – that Singh finally started laying the first bricks to his hospitality dream. He was smitten by Cape Winelands, both by its scenery and wines, and soon made his first investment. He bought three farms in the picturesque wine town of Franschhoek. Thus was born Leeu Estates. Leeu, means Lion in Afrikaans, a subtle take on the entrepreneur’s surname.
Over the last eight years, Singh picked and chosen – like a master winemaker would do with grapes – to build his hospitality business which is now called The Leeu Collection. It i ncludes a 17-room country house retreat and boutique winery in the Franschhoek valley and Leeu House, a 12-room hotel in the heart of Franschhoek village. The House also includes an Indian restaurant. Next to the House is a craft beer microbrewery, also owned by Singh. The town also houses his Le Quartier Français, a ‘romantic 21-room hotel’ and three-bedroom villa.
Singh’s taste for good things extends to wines. He is a partner at award-winning Mullineux & Leeu Family Wines. One of the collections is called BAS, short of Bhai Analjit Singh.
Apart from these South African properties, Singh owns Linthwaite House in England’s Lake District. A luxury hotel is under works in West End of London and is set to open in 2020. The entrepreneur is also developing a 70-plus room luxury hotel, named Leeu Villa Querce, in Florence, Italy. It will open in 2021.
Reports earlier this week said that Singh has invested over Rs 1,500 crore in the hospitality venture. Sources close to the company confirmed the development with Moneycontrol. He is also raising Rs 2,000 crore from private equity giant KKR, according to a report by The Economic Times.
A company spokesperson declined to comment, adding that the investment are being made in Singh’s private capacity.
The third phase
Singh belongs to an entrepreneurial family. His elder brother Parvinder Singh had built Ranbaxy into an Indian multinational. Early on, Singh built his legacy through the visionary investment in the telecom sector. In 1992, he had formed a joint venture with telecom company Hutchison to create Hutchison Max, which today is known as Vodafone.
After he cashed in on the telecom investment, Singh focused on building Max Group’s healthcare and insurances businesses. Max Healthcare, with 14 hospitals, today is one of the largest players in the sector.
Max Life is claimed to be India’s largest non-bank-owned, private life insurance company.
All businesses put together, the Max Group had revenues of $2.1 billion in 2016. Singh ranks among the richest Indians, with Forbes putting his wealth at $1.18 billion, as on January 24.
The billionaire entrepreneur’s investment in hospitality and real estate, with projects announced in the NCR, well could be the third phase of his entrepreneurship.
Hospitality family
Singh’s children, son Veer Singh and daughter Tara Singh Vachani, are doing their bit in the family’s venture into hospitality. Veer’s Vana Resorts centres around wellness, leveraging on traditional Indian therapies. It is located in Dehradun.
The Uttarakhand capital is also home to Antara Senior Living, which was conceptualised and built by Tara. The project, which plays into both real estate and hospitality industries, is based on community living and has flats priced from Rs 1.5 crore to Rs 6 crore.
While these properties do expand the family’s hospitality presence to India, Singh has also made investments in the restaurant space. In May last year, he invested in Azure Hospitality, which runs the pan-Asian chain Mamagoto. Later in October, he bought a stake in celebrity chef Ritu Dalmia’s Riga Foods, which owns a chain of Italian restaurants in the NCR market.
But it is no secret that Singh would want to make a splash in the pure hospitality play. The Taj Man Singh, which is being auctioned by the NDMC, could have been ideal start. But auction conditions, which include a prior experience in running five-star hotels, don’t give a chance to Singh.
There are other opportunities in the luxury space, with experts expecting many stressed assets to be put on the block this year. No doubt, Singh will be ready to make his move.
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