Printer Friendly

PPHE Hotel Closes EUR 51m Acquisition of Outstanding 80% Stake in Croatia JV.

M2 EQUITYBITES-April 14, 2016-PPHE Hotel Closes EUR 51m Acquisition of Outstanding 80% Stake in Croatia JV

(C)2016 M2 COMMUNICATIONS http://www.m2.com

14 April 2016 - Guernsey-based hotel operator PPHE Hotel Group Ltd. (LSE: PPH) has closed the acquisition of an outstanding 80% interest, which it did not currently own, in its joint venture in Croatia for an aggregate cash consideration of EUR 51m (USD 56.03m), the group said.

The joint venture indirectly owns 74.15% of the issued share capital of Arenaturist d.d (Arenaturist), a Croatian public company traded on the Zagreb Stock Exchange, and 100% ownership of three Croatian private companies (together the Arenaturist Group).

These companies together own seven hotels and six apartment complexes and have ownership interest in eight campsites in Istria, Croatia.

For the year ended 31 December 2015, the Revenue of Arenaturist Group was approximately GBP 40.4m and EBITDA was approximately GBP 12.4m.

As a result of the acquisition, the company is required to make a mandatory takeover offer for the outstanding share capital of Arenaturist.

Subject to completion of the acquisition and of the offer, the group has entered into agreements with two Croatian institutional investors to sell Arenaturist shares representing 9% and 1% respectively of the issued share capital, and was given an option to sell an additional 4% of the issued share capital, in each case for approximately HRK 285 (approximately GBP 29.17) per share.

PPHE Hotel Group Ltd. is a Guernsey registered company and through its subsidiaries, jointly controlled entities and associates, owns, leases, operates, franchises and develops full service upscale and lifestyle hotels in major gateway cities and regional centres, predominantly in Europe.

The majority of the group's hotels operate under two distinct brands, Park Plaza Hotels and Resorts and art'otel. The group has an exclusive licence from Carlson, a global privately held hospitality and travel company, to develop and operate Park Plaza Hotels and Resorts in Europe, the Middle East and Africa. The art'otel brand is fully owned by the group.

((Comments on this story may be sent to info@m2.com))

COPYRIGHT 2016 Normans Media Ltd.
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2016 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:M2 EquityBites (EQB)
Geographic Code:4EXCR
Date:Apr 14, 2016
Words:350
Previous Article:Rubis to Buy Bermuda Gas and Utility for USD 17m.
Next Article:OCI, Consolidated Energy to Make Joint Investment in Natgasoline.
Topics:

Terms of use | Privacy policy | Copyright © 2019 Farlex, Inc. | Feedback | For webmasters