Swedish hotel group Pandox and Israeli group Fattal Hotels have acquired a hotel portfolio from US private equity group Lone Star for £800 million (€908 million).
The portfolio of 37 hotels includes the entire Jurys Inn portfolio along with one hotel at London’s Heathrow airport, trading as a Hilton Garden Inn.
Pandox will take ownership of 20 of the properties in the portfolio, along with the operations of the Heathrow airport property. The remaining properties, which are on long-term leases, will be managed by a division of Fattal.
All of the 35 Jurys Inn-branded hotels – including the management contract of Jurys Inn Prague – will be operated by a subsidiary of Fattal, called Leonardo.
Market presence
"Through the acquisition, Pandox adds 20 new hotel cities to its portfolio and achieves a considerable market presence in the UK and the Republic of Ireland, which are large and dynamic hotel markets," said Anders Nissen, Pandox chief executive.
The three Irish properties are Jurys Inn Galway, Cork and Dublin.
Provided the acquisition completes before the end of this year, Pandox expects the portfolio to contribute about €45.3 million in operating income in 2018.
According to David Fattal, chief executive of the Fattal Hotels Group, the acquisition "represents a huge step forward in our growth. With this, we have the opportunity to further expand and strengthen our expertise and brand awareness in Europe. We look forward to this new challenge ."
