BTG Hotels recently announced that it has created a joint company with Ali Travel and Shiji Network. The three have invested 50 million RMB in the joint company, and named it Zhejiang future hotel network technology co., LTD, temporarily. BTG Hotels is a large conglomerate of listed comprehensive tourism companies in China; Ali Travel is an online travel agency; and Shiji Network is the biggest PMS supplier in China. Based on Internet plus and cloud PMS, as well as the three company’s capital, technology, and data, the joint company aims to create new brand operations pattern in China. It seems like an online hotel alliance, offering member hotels the right to use its brand, marketing, distribution, technology, standard PMS data, and so on. Base on the above service, the joint company will also provide the member hotels’ customers self-service technology in choosing rooms, check-in, and printing Fapiao, among others.
The bidding war intensifies as the consortium led by Anbang Insurance Group Co. returned with an even higher offer of nearly US$14 billion to buy Starwood Hotels & Resorts Worldwide Inc. It was an industry shaking news when Marriott announced that it had offered US$12.2 billion in cash and stock to buy over Starwood in November 2015. However, the merger was contested by Anbang-led consortium in early March 2016 with a US$13.2 billion all cash bid to spark off the bidding frenzy. After Starwood declared that Anbang’s offer was more superior, Marriott came back with a sweetened offer of US$13.6 billion, which was then accepted by Starwood. However, Marriott’s takeover faces challenges as the consortium’s new offer may be too high for Marriott to outbid. It is unclear if Marriott will come back with a higher offer, but some analysts have expressed concerns over potential regulatory and legal hurdles in an Anbang-Starwood deal. Marriott could also potentially collect a breakup fee of more than US$400 million should it fail to secure Starwood, as part of the negotiation agreement. Starwood has now scheduled a meeting to consider the proposals on April 8.
At the height of the bidding war for Starwood Hotels & Resorts Worldwide Inc., the consortium led by Anbang Insurance Group Co. has withdrawn its bid of US$14 billion, walking away from the non-binding offer it made on March 26 to counter Marriott International Inc.’s US$13.6 billion bid. This paves the way for Marriott to now complete its acquisition of Starwood to form the world’s largest hotel company. While reasons were not specified, Anbang cited “various market considerations” have led the consortium to determined that it will not proceed further. Starwood and Marriott shareholders are separately scheduled to vote on the deal on April 8.
Tourism Authority of Thailand (TAT) organised a familiarization trip for 17 wedding planners from major Indian cities including Mumbai, New Delhi, Kolkata, Jaipur, Chandigarh and Bengaluru. The familiarization trip covered many destinations in Thailand such as Bangkok, Phuket, Khao Lak, Kanchanaburi, Hua Hin, Rayong and Pattaya. Thailand hosts about 300 weddings from India every year and each wedding party comprises 100 to 600 attendees and lasts from three to six days. The budget of these weddings ranges from 10 million baht to 50 million baht per event. According to Mrs. Srisuda Wannapinyosak, Deputy Governor for International Marketing – Asia and South Pacific of TAT, this market has a lot of potential to grow. Indian wedding planners find Thailand attractive for the growing number of destination weddings due to, amongst many other factors, air accessibility, great Thai hospitality and affordability of luxury. TAT is forecasting significant growth in the number of Indian weddings and honeymoons in Thailand.
Mfar Hotels & Resorts, the hospitality arm of Mfar Group, announced on 24 March 2016, plans to invest approximately US$100 million in resort development in the Maldives. Initital designs consist of a 130-villa resort with the potential of expanding their footprint with two more resorts at a later stage. Currently, construction is expected to commence in the third quarter of 2016.
Closing Share Price as at
31 Mar 2016
25 Mar 2016
Australia Stock Exchange (ASX)
Event Hospitality and Entertainment Ltd
General Property Group
Bangkok Stock Exchange (THB)
Central Plaza Hotel Public Co Ltd
Dusit Thani Public Co Ltd
The Erawan Group Public Co Ltd
Grande Asset Hotels and Property Public Co Ltd
Laguna Resorts & Hotel Public Co Ltd
Minor International Public Co Ltd
China Shanghai Stock Exchange (RMB)
Jinling Hotel Corporation Ltd
China Shenzhen Stock Exchange (RMB)
Huatian Hotel Group Co Ltd
Guangzhou Dong Fang Hotel Co Ltd
China Lodging Group Ltd
Home Inns & Hotels Management Inc
Hong Kong Stock Exchange (HK$)
Miramar Hotel & Investment Co Ltd
Regal Hotels International Holdings Ltd
Sino Hotels Holdings Ltd
The Hong Kong & Shanghai Hotels Ltd
Shangri-La Asia Limited
Dorsett Hospitality International
National Stock Exchange (INR)
IHCL (Taj Hotels, Resorts & Palaces)
EIH (Oberoi Hotels & Resorts)
Hotel Leela Ventures
Korea Exchange (KRW)
Singapore Stock Exchange (S$)
Amara Holdings Ltd
Ascendas Hospitality Trust
Ascott Residence Trust
Banyan Tree Holdings Limited
CDL Hospitality Trusts
Far East Hospitality Trust
Hotel Grand Central Ltd
Hotel Properties Ltd
Mandarin Oriental International Ltd (US$)
OUE Hospitality Trust
Stamford Land Corporation Ltd
Taiwan Stock Exchange (NT$)
Formosa International Hotels Corporation
The Ambassador Hotel, Ltd
Tokyo Stock Exchange (JPY)
Japan Hotel REIT Investment Corp.
Imperial Hotel, Ltd
Superior Results through Unrivaled Hospitality Intelligence. Everywhere.
Stay current. Click here to receive free HVS newsletters
Looking for insights into the hospitality industry?
Discover unique hospitality intelligence at hvs.com/publications
Interested in a particular market?
Find hundreds of market overviews, all written by HVS experts, at hvs.com/marketresearch
Like to be in the know on hotel trends and predictions?
See our Hotel Valuation Index for dozens of cities at hvi.hvs.com