Prince Hotels Buys StayWell Hospitality for US$37.9 Million

Japanese hotel group, Prince Hotels, a subsidiary of Seibu Holdings, has acquired StayWell Hospitality Group (SWHG) including all the business operations of StayWell Group, which operates 30 hotels primarily in Australia and India. Prince Hotels will establish the 100 per cent fully owned Australian subsidiary, StayWell Holdings and this new company will purchase all shares of SWHG’s 22 operating subsidiary companies within the next three months. The final acquisition will be completed by October 2017. The acquisition will further strengthen the globalization and growth of the Seibu Group's hotel and leisure businesses, allowing Seibu Group to expand the profit earning opportunities of its international hotel business and carry out faster development of hotels in Southeast Asia, Asia and Oceania, the Middle East, and Europe.  Seibu Group plans to deploy 100 hotels in 10 years. Prince Hotels will continue collaborations with StayWell’s existing strategic partners such as the Manhatton Hotel Group in China, Cristal Group in the Middle East, and FiveWays Hospitality in the United Kingdom, and this deal will enable further expansion and development of StayWell’s businesses.

Muji to Venture into Hospitality with Hotels in Japan and China

Japanese lifestyle brand, Muji will launch its first hotel in Tokyo's Ginza district, in spring 2019. The hotel will be part of a mixed-use development that will also feature a retail component, and will be jointly developed by national newspaper, Yomiuri Shimbun and real estate developer, Mitsui Fudosan. While the hotel will occupy the sixth to tenth floors of the building, Ryohin Keikaku, the company behind Muji, will be the anchor tenant for the floors below it, which will feature a global flagship Muji store. Construction of the hotel, tentatively named Muji Hotel, has already commenced last month. Furthermore, Ryohin Keikaku, is also planning to open two hotels in China. Last year, Shenzhen Investment announced a collaboration with Muji to bring the world’s first Muji ‘three-in-one’ concept comprising a 79-room hotel, a 2,700-square-meter retail store and a 120-seater restaurant. The hotel is expected to open in the later part of 2017 in the central Futian district of Shenzhen. 

Hilltop Capital Acquires Chinatown Hotel in Singapore

Three adjoining freehold shophouses on Teck Lim Road, off Keong Saik Road, have been sold to Hilltop Capital, a company with connection to Aw & Sons Capital and Aw Kim Cheng Realty, for S$31 million. The shophouses, which have a total gross floor area of 11,200 square feet, also house the Chinatown Hotel. Located in the Chinatown-Bukit Pasoh Conservation area, the 42-room boutique hotel enjoys a prime location, being surrounded by cafes, restaurants and bars that are frequently visited by locals and tourists.  The property is also in close proximity to the Outram Park MRT Station and the future Maxwell MRT Station on the Thomson-East Coast line. The seller, a family who also operated the hotel, owned the property for more than two decades. The buyer is expected to refurbish the property, as the latter has not had any major revamp in nearly 25 years.  

BHMAsia to be Acquired by Flight Centre Travel Group

Bangkok-based hotel management company, Bespoke Hospitality Management Asia (BHMAsia) has entered an agreement for its acquisition by Flight Centre Travel Group (FLT). FLT, one of the world’s largest travel agency groups, has operations in 14 countries and a corporate travel management network that covers over 75 countries. This acquisition will be FLT’s first investment in the lodging sector and will strengthen its rapidly expanding in-destination travel experiences division. Anthony McDonald, Chief Executive Officer of BHMAsia, said that the acquisition will help accelerate BHMAsia’s growth. By leveraging FLT’s global distribution network, BHMAsia-managed hotels can deliver improved returns to their owners and an end-to-end experience for FLT customers. BHMAsia’s brands include X2 (Cross To), X2 Vibe, and Away Resorts and Villas. The company’s current portfolio comprises properties in Bangkok, Phuket, Koh Samui, Pattaya and Chiang Mai, with a number of international projects in the pipeline.

Fairfield By Marriott Debuts in China

Marriott International recently announced the debut of Fairfield By Marriott brand in Greater China, with the opening of Fairfield By Marriott Nanning Nanhu Park, marking the 20th hotel brand to be introduced to Greater China by Marriott. Earlier in 2016, Marriott International and Dossen International Group had signed an exclusive development agreement to bring the Fairfield by Marriott brand to mainland China. Located at Binhu Road, Qingxiu District, a beautiful new economic district in Nanning city, Fairfield by Marriott Nanning Nanhu Park is within ten minutes' walking distance from Wanda Business District and Nanhu Park. The new-built hotel will feature open spaces that are suitable for both work and entertainment. Relaxation and simplicity were fundamental to the design of the hotel’s 209 guestrooms. Other facilities at the hotel include a restaurant, a fitness center and a 24/7 market in the lobby where guests can purchase snacks and refreshments for easy meals on-the-go. 

Absolute Share Price Performance, as on 14 July 2017