Monday, 22 May 2017

SWEDEN: Best Western Acquires Sweden Hotels

Best Western Hotels & Resorts has just announced the acquisition of Sweden Hotels in an operation that allows the group to become the largest network of hotels in Sweden.

Best Western Hotels & Resorts has announced the acquisition of the Swedish chain Sweden Hotels, making the group the largest hotels network in the country. It now has 135 hotels in Sweden and 180 in Scandinavia.

The aim of this collaboration is to strengthen the development of Sweden Hotels' private and individual hotels by giving them access to Best Western's digital platforms, distribution systems and loyalty programs.

The acquisition of Sweden Hotels is a strategically important operation and a natural development for us.

Our position as the largest hotel chain in Sweden makes it possible for us to create even more favorable conditions for a successful chain development and to present even stronger results for our hotels in the future, said Johan Kukacka, CEO of Best Western Hotels & Resorts in Scandinavia.

As of January 1, 2017, the Best Western Hotels & Resorts group is the 2nd largest hotel chain in Europe with 1,108 properties and 79,010 rooms.

The Red Lion Hotels Corporation group, 15% owned by HNA, unveils its new portfolio of brands following the takeover of the US franchise Vantage Hospitality Group in September 2016.

The Red Lion Hotels Corp, 15% owned by the Chinese group HNA since 2015, unveils its new brand portfolio. This was recently expanded by the acquisition at the end of 2016 of Vantage Hospitality Group; an operation which enabled the group to get 987 more properties meaning an additional 59,000 rooms, thus strengthening its presence on the American market.

Red Lion Hotels Corp now has 9 brands in its portfolio on the upscale, midscale and economy segments, including Red Lion Hotels, Red Lion Inns, Settle Inn, Signature Inn, Guest House, Americas Best Value Inn, Canada's Best Value Inn and Country Hearth Inn & Suites.

This evolution represents a new milestone in the growth of the Red Lion Hotels Corp group, which now has 1,100 franchised properties for a total of 73,200 rooms.

Red Lion Hotels Corporation has entered exclusive negotiations with Vantage Hospitality. This takeover will affect franchise contracts for a dozen brands, including Americas Best Value Inn, including 1,000 hotels and close to 60,000 rooms.

The initial aggregate price for the operation is estimated at some 25 million euros in cash and shares, and may be adjusted after two years of results.

The takeover of Vantage Hospitality Group by Red Lion Hotel Corporation (RLHC), two American franchise groups, should become official in the third quarter 2016.

This acquisition will enable RLHC to accelerate its growth throughout the United States thanks to an expanded brand portfolio, and to become one of the primary franchisers in the country. In 2014, Vantage Hospitality took over America's Best Franchising, growing the group to more than 1,400 units and 90,000 rooms.

Greg Mount, President and CEO RLHC declared on this occasion: The acquisition of Vantage Hospitality Group's operations establishes RLHC as one of the largest hotel franchisors adding approximately 1,000 hotel franchise, membership, and licensing agreements to our growing brand family.

Roger Bloss, Founder, President and Chief Executive Officer of Vantage, added: We are excited to become part of the RLHC family of brands. Joining RLHC's platform will provide our members with additional resources to grow their businesses and our guests with a broad array of brands." Vantage Hospitality Group is an American franchiser created in 1999.

This operation brought RLHC's portfolio the following brands: Vantage Hotels; Americas Best Value Inn (80% of the supply); Canadas Best Value Inn; Lexington by Vantage; America’s Best Inns and Suites; Country Hearth Inns; Jameson Inns; Signature Inn; and 3 Palms Hotels & Resorts. The group's portfolio will thus have 1,100 franchised properties or 73,200 rooms versus 113 hotels and 14,200 rooms previously.

RHLS was created in 1937; at the time the company was called Goodale & Barbieri Companies (G&B). Its introduction to the stock market in 1998 was synonymous with expansion. In 2001 the company bought Red Lion Hotels & Inns and moved most of its units under Red Lionin 2003.

It also took over West Coast Hospitality in 2005 and has taken another major step towards growth with the takeover of Vantage Hospitality.

The Mandarin Oriental Group has just announced the signing of an agreement to take over the management of a property in Santiago, Chile.

This is the first hotel of the group in South America. Owned by the Hotel Corporation of Chile (HCC), it will be renovated and will be operated under the Mandarin Oriental brand from August 2018. The property will remain open during the construction period.

The Hotel Santiago is located in the commercial and leisure area of Las Condes, which includes shopping centers, restaurants, museums and theaters.

It offers 310 rooms including 23 suites as well as 5 restaurants and bars, a fitness center, an outdoor pool, a spa, landscaped gardens and a large meeting space.

Owned by Jardine Matheson Group, Mandarin Oriental currently has 28 hotels and 8 residences in 19 countries.