HVS - ASIA PACIFIC HOSPITALITY NEWSLETTER - For The Week Ending 16 Oct 2015 (October 19, 2015)

Wyndham Hotel Group to Set Foot in Indonesia

Wyndham Hotel Group is set to to open its first Wyndham Hotels and Resorts property in Indonesia, at Bali’s Lepang Beach, through a partnership with PT. Wijaya Karya Realty. The Wyndham Resort Tamansari Jivva slated to open its doors in January 2016, will be located minutes away from Bali’s prestigious surf break, Keramas. With eight villas and 214 apartments set on a 1.4ha beachfront land, the resort will feature an open lobby surrounded by a pool, an oceanfront pool, a beach bar, a restaurant, conference facilities and a gym. Bali attracted 3.39 million international arrivals into the island in 2014. The number of international arrivals in the island has surged over the years, with a CAGR of 8.3% between 2004 and 2014, making Bali one of Indonesia’s fastest growing tourism markets. With a substantial amount of supply entering the market in 2016, RevPAR growth is expected to be under pressure in the short to medium term. 

Absolute Hotel Services Group to Launch Travelodge Hotels in Thailand

Absolute Hotel Services Group (AHS) has entered into a joint venture with Travelodge Hotels Asia for the launch of the Travelodge brand and sub-brands in Thailand. Targeting more than 4,000 keys in Thailand by 2020, Travelodge Asia has three sub-brands including Nano by Travelodge, One by Travelodge and Skye by Travelodge. The four brands, ranging from lower to upper midscale properties, will have varied design concepts, aimed at attracting different categories of customers. With extensive expansion plans in Asia, Travelodge will be launching its brands in many countries including Thailand, Hong Kong, Indonesia, Singapore, Malaysia and Japan. Currently, there are close to 1,000 Travelodge-branded properties worldwide. According to Jonathan Wigley, CEO of AHS, the midscale hotel segment in Thailand is expected to perform well, taking into consideration the travel demographics in the country. Currently, AHS operates the Eastin Grand Hotels, Eastin Hotels & Residences, Eastin Easy and U Hotels & Resorts, with a portfolio of more than 60 hotels in Thailand, Vietnam, Indonesia, India, the Middle East and Europe.  

Golden Tulip Debuts in Bangladesh with the Opening of the Royal Tulip Sea Pearl Beach Resort & Spa in Cox’s Bazar

Golden Tulip Hotels opened its first property in Bangladesh’s popular beach destination Cox’s Bazar last week. Located on Inani Beach, the Royal Tulip Sea Pearl Beach Resort & Spa offers 493 rooms, seven food and beverage outlets, three meeting and conferencing facilities with a capacity of 1,230 guests, a spa, indoor and outdoor swimming pools, a water park, and numerous activities for children.

HNA Looking to Acquire French Tour Operator FRAM

According to a press announcement from FRAM Group - one of the largest French tour operators, China’s HNA Group and its French partner Selectour Afat has proposed a ‘confirmed’ quoted price for the acquisition of its shares. Although the press communiqué did not involve the exact price of the quote, information from related sources suggest that the offer could reach upto €40 million (US$46 million), with 90% of the transaction value being invested by HNA. Meanwhile, Karavel Promovacances, a French online travel sales group, has also proposed a seperate offer for the acquisition of FRAM Group. FRAM Group was established in 1949 and is one of France’s largest national travel agency, with a turnover of €373 million (US$428 million) in 2014 and having serviced 50,000 people this summer alone. However, the group suffered substantial losses in recent years and has been on the verge of bankruptcy. The final decision on the acquisition is expected to be announced by FRAM Group within the next few days.  

Absolute Share Price Performance, as on 16 Oct 2015

Closing Share Price as at

16 Oct 2015
8 Oct 2015
% Change

Australia Stock Exchange (ASX)

Amalgamated Holdings Limited

13.7
13.9
-1.4%
General Property Group
4.68
4.64
0.9%
Mirvac Group
1.75
1.73
1.2%
Mantra Group
4.11
4.17
-1.4%

Bangkok Stock Exchange (THB)

Central Plaza Hotel Public Co Ltd

39
40.5
-3.7%

Dusit Thani Public Co Ltd

65
61
6.6%

The Erawan Group Public Co Ltd

4.08
3.78
7.9%

Grande Asset Hotels and Property Public Co Ltd

1.03
1
3.0%

Laguna Resorts & Hotel Public Co Ltd

26
26
0.0%

Minor International Public Co Ltd

30.75
30.5
0.8%

China Shanghai Stock Exchange (RMB)

Jinling Hotel Corporation Ltd

13.36
11.91
12.2%

China Shenzhen Stock Exchange (RMB)

Huatian Hotel Group Co Ltd

7.85
7.52
4.4%

Guangzhou Dong Fang Hotel Co Ltd

19.9
18.72
6.3%
NASDAQ (US$)

China Lodging Group Ltd

28.22
26.5
6.5%

Home Inns & Hotels Management Inc

29.53
28.39
4.0%

Hong Kong Stock Exchange (HK$)

Miramar Hotel & Investment Co Ltd

13.1
12.5
4.8%

Regal Hotels International Holdings Ltd

4.03
3.93
2.5%

Sino Hotels Holdings Ltd

2.38
2.38
0.0%

The Hong Kong & Shanghai Hotels Ltd

8.95
9.14
-2.1%

Shangri-La Asia Limited

7.15
7.07
1.1%

Dorsett Hospitality International

1.54
1.54
0.0%

National Stock Exchange (INR)

IHCL (Taj Hotels, Resorts & Palaces)

87.9
92.9
-5.4%

EIH (Oberoi Hotels & Resorts)

108
104
3.8%
Hotel Leela Ventures
20.25
19.9
1.8%
Korea Exchange (KRW)
The Shilla
106500
115500
-7.8%

Singapore Stock Exchange (S$)

Amara Holdings Ltd
0.44
0.445
-1.1%

Ascendas Hospitality Trust

0.655
0.66
-0.8%
Ascott Residence Trust
1.22
1.225
-0.4%

Banyan Tree Holdings Limited

0.54
0.515
4.9%
CDL Hospitality Trusts
1.37
1.35
1.5%

Far East Hospitality Trust

0.67
0.685
-2.2%

Hotel Grand Central Ltd

1.25
1.2
4.2%
Hotel Properties Ltd
3.7
3.74
-1.1%

Mandarin Oriental International Ltd (US$)

1.53
1.535
-0.3%
OUE Hospitality Trust
0.825
0.81
1.9%

Stamford Land Corporation Ltd

0.51
0.505
1.0%

Taiwan Stock Exchange (NT$)

Formosa International Hotels Corporation

211.5
219.5
-3.6%

The Ambassador Hotel, Ltd

27.2
27.4
-0.7%

Tokyo Stock Exchange (JPY)

Japan Hotel REIT Investment Corp.

80100
78500
2.0%
Imperial Hotel, Ltd
2515
2423
3.8%
 

Disclaimer: Information provided above has been gathered from various market sources. HVS has not independently verified the accuracy of the information provided. Interested parties should not rely on the information as statement of facts and are advised to make their own independent checks to verify the information provided. For further information, please feel free to contact HVS Asia Pacific.

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