Given that the report was published during market hours on January 7, the stock climbed as much as 5% in the previous session. However, the company has issued a clarification and stated that no negotiations, discussions, agreements, or proposals whether ongoing or approved are in place. Further, no preferential allotment of shares by the company to Warburg Pincus is currently under consideration.
It added that in the ordinary course of business, the company periodically evaluates various strategic and financial options and investment opportunities, including those relating to its subsidiaries. Any such discussions are, by their nature, preliminary and non-binding unless and until the requisite approvals are obtained and definitive agreements are executed. In this regard, as of date, no binding agreement has been entered into, and no transaction has been approved by the board.
The PE firm is likely to acquire APG Strategic RE Pool’s stake in Lemon Tree in first tranche, reported CNBC-TV18. APG Strategic RE Pool owns 14.99% stake in Lemon Tree. Lemon Tree Hotels operates more than 110 properties in over 75 cities, with international presence in places like Dubai, Bhutan, and Nepal.
On December 29, 2025, Lemon Tree Hotels Limited announced the execution of a Hotel Operation Agreement (HOA) for an upcoming hotel in Tirupati, Andhra Pradesh. The hotel will be operated by Carnation Hotels Private Limited, a wholly owned subsidiary of Lemon Tree Hotels Limited, under the brand name “Lemon Tree Suites”, subject to the execution of a licence agreement by Lemon Tree Hotels Limited.
Lemon Tree Suites, Tirupati will be located in Tirupati, a major pilgrimage centre known for the Sri Venkateswara Temple. The hotel will comprise 228 rooms and suites, and its facilities will include a restaurant, a banquet and meeting room, as well as recreational amenities such as a swimming pool and a spa.
Lemon Tree shares had a muted 2025, up just 4% during the year. The stock price is down 4% in 2026.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)