Restaurant India News: SAMHI Hotels Approves 70 percent Stake Acquisition in RARE India

SAMHI Hotels Limited, a branded hotel ownership and asset management platform in India, has announced that its board has approved the acquisition of a majority stake of 70 percent in RARE India, a platform known for heritage hotels, retreats, and experiential stays. The company expects to sign definitive agreements by May 2026. The transaction will mark SAMHI’s entry into the experiential leisure segment through an asset-light investment model.

Alongside the acquisition plan, SAMHI and RARE have signed a Memorandum of Understanding for an affiliation with Marriott International. The proposed arrangement aims to use Marriott’s global distribution capabilities and loyalty network to expand the reach of the RARE portfolio. Under the affiliation, RARE will have exclusive rights to operate its hotels under the Outdoor Collection brand by Marriott Bonvoy across India, Nepal, Bhutan, and Sri Lanka. Distribution of these properties is expected to take place through Marriott’s global booking channels once definitive agreements with Marriott are finalized following the acquisition.

The proposed relationship is expected to shift RARE from being primarily a representation platform to becoming a fully integrated business-to-consumer distribution and experiential brand platform. Despite the ownership change, the company will continue to operate independently under its founder and existing leadership team, maintaining its focus on building a network of heritage and experiential properties. The partnership is also expected to expand SAMHI’s overall portfolio to around 100 hotels through a mix of owned and affiliated assets.

RARE India was founded in 2003 by Shobha Rudra and has positioned itself as one of India’s early platforms focused on curated experiential hospitality. The company currently manages a portfolio of 67 hotels with 990 rooms across more than 15 states in India, along with an international presence in Nepal and Bhutan. Over the past two decades, RARE has developed a reputation for focusing on responsible tourism, promoting local employment, and creating experiences centered on regional culture and heritage.

The platform’s portfolio includes heritage palaces, wildlife lodges, boutique retreats, and other experiential hospitality properties. Its business model has been based on a curated selection process that brings together independent hospitality entrepreneurs and travelers who prefer heritage-driven and experience-led stays. Industry observers note that this approach has helped RARE maintain a differentiated position in a market that has become crowded with homestay and villa aggregation platforms.

The investment by SAMHI is expected to help expand RARE’s growth plans while retaining its curated approach. There remains a large base of property owners and travelers willing to pay a premium for distinctive hospitality experiences, and the partnership is expected to support the continued growth of this community.

As part of the transaction, SAMHI’s financial commitment is expected to be around Rs 470 Mn. The investment will include a primary capital infusion into RARE India and a smaller portion allocated to purchasing shares from existing stakeholders. The new capital is planned to be used to strengthen management capabilities, upgrade technology and distribution systems, and expand marketing and brand reach as RARE prepares for its next phase of growth.

The investment aligns with SAMHI’s strategy of identifying operating platforms that have strong brand recognition but remain underutilized in terms of scale and distribution. The company indicated that the valuation for the investment differs from typical asset-light platform investments seen globally and within India. This transaction also represents SAMHI’s first asset-light platform investment in the leisure hospitality segment.

For SAMHI, the structure allows entry into a high-growth experiential travel segment without altering its primary strategy of expanding business hotels in major office and gateway markets across India. The asset-light approach also limits capital exposure while offering long-term growth potential driven by expanded distribution, technology integration, and brand development.

Ashish Jakhanwala, Chairman & Managing Director, SAMHI Hotels Ltd., said, “This investment in RARE India is a strategic adjacency that strengthens our platform without distracting from our core focus on business and gateway markets. RARE represents a combination of legacy, credibility and scalable asset-light potential. With a strong proven founding team, an irreplaceable community of owners and the proposed affiliation with Marriott, we believe RARE can emerge as a leading B2C brand in experience-led tourism. Importantly, this is a small financial investment but with asymmetrical return potential – consistent with our philosophy of discovering value in underappreciated opportunities.”

Shobha Rudra, Founder of RARE India, said the partnership would allow the platform to expand while maintaining its existing approach to hospitality and community building. She stated, “RARE India has always been built on relationships, trust and a shared commitment to responsible tourism. This partnership with SAMHI allows us to remain true to our philosophy and continue to preserve and build the RARE community of hotel owners and discerning travellers. Together, we aim to strengthen the foundation of the RARE community and scale our impact.”

Marriott International is also expected to play a role in expanding the global reach of the RARE portfolio through its distribution ecosystem and loyalty program. Rajeev Menon, President, Asia Pacific excluding China, Marriott International, said, “India’s experiential and heritage-led hospitality segment represents a significant long-term opportunity. RARE has built a distinctive portfolio rooted in authenticity and responsible tourism. Through this collaboration, we look forward to extending our global distribution platform and Marriott Bonvoy ecosystem to a highly curated collection of unique stays. Together with SAMHI and RARE, we aim to unlock incremental demand and broaden access to immersive travel experiences across India and the region.”

The transaction reflects a growing interest among hospitality companies in experiential tourism, a segment that has gained traction among travelers seeking heritage properties, nature retreats, and culturally rooted stays. Industry analysts note that the collaboration between SAMHI, RARE, and Marriott could help scale curated experiential hospitality offerings while maintaining a focus on independent property owners and heritage-driven travel experiences.