Published on : Tuesday, June 23, 2015
Frasers Hospitality UK Holdings Limited, a wholly-owned subsidiary of Frasers Centrepoint Limited (“FCL”), successfully completed the acquisition of Malmaison Hotel du Vin group (“MHDV”) of boutique lifestyle hotels for a consideration of GBP363.4 million (approximately S$760 million) from an affiliate of KSL Capital Partners, LLC.MHDV owns two upscale boutique lifestyle brands – Malmaison and Hotel du Vin – comprising 29 boutique lifestyle hotels and 2,082 keys across 25 cities1 in the United Kingdom. “FCL’s strategy remains focused on achieving balanced growth across asset classes and diversifying our earnings profile. This acquisition is important as it doubles our offerings in Europe to about 4,000 keys and it propels Frasers Hospitality to be one of the leading hospitality players in this market.” said Mr Lim Ee Seng, Group CEO of FCL.
Both Malmaison and Hotel du Vin enjoy healthy average occupancies of over 80% for the last three years and achieve superior Revenue Per Available Room (“RevPAR”) against their peers. “MHDV provides a tried and proven DNA in the boutique lifestyle segment for us. The purchase of Malmaison and Hotel du Vin perfectly complements our brand portfolio and gives Frasers Hospitality a platform to expand into the fastest growing hospitality sector. We look forward to building on this success with future development in the UK, Europe and Asia,” says Frasers Hospitality’s CEO, Choe Peng Sum.
“With these two best-in-class lifestyle brands, we are on track to reach our goal of operating 30,000 keys by 2019.”Founded in 1994, MHDV’s management team has developed a unique collection of premier boutique hotels throughout the UK, specialising in the conversion and repositioning of iconic heritage buildings to capture the upmarket segment of leisure and business travellers. Today, affluent travellers seek unique and memorable experiences in their choice of accommodation, often preferring personalised lifestyle experiences over mass-market offerings. “Travellers are turning away from cookie-cutter hotel offerings and looking for lifestyle experiences. MDHV is key in developing this format and remains at the heart of its development.”