German Fund Manager Acquires Sebel Canberra Hotel for AUD48 Million in Australia

German-based fund management group, DWS Group GmbH & Co. KGaA (“DWS”), the mutual funds arm of Deutsche Bank’s Asset Management division, and Australia-based Pro-Invest Group (“Pro-Invest”), have joined hands to acquire the Sebel Canberra Hotel at AUD48 million in an off-market deal. Developed by Australia-based Zapari Group, the 144-key Sebel Canberra Hotel commenced operations in June 2019 with new serviced apartment style rooms spanning across eleven floors. The 126 studio rooms feature kitchenette facilities, while the 18 one-bedroom suites include full kitchen facilities. In addition, the property also features a ground-floor restaurant, bar and teahouse. The property is situated in a prime location within the Civic Square precinct in the heart of Canberra's CBD. The Civic Square is home to ACT Legislative Assembly, Canberra Museum and Gallery, Civic Library and Canberra Theatre, along with many local cultural organisations and a new office development. The acquisition represents the first Australian hotel purchase for DWS and the first Canberra hotel purchase for Pro-Invest.

Temburong Bridge Drives New Tourism Investments in Brunei

The 30km Temburong Bridge and causeway is nearing completion. The South-east Asia’s longest overseas bridge will link the capital Bandar Seri Begawan with Temburong district, eliminating the need for travellers to pass through borders with the Malaysian state of Sarawak and reducing travel time from two hours to less than 30 minutes. Currently, people visiting Temburong from Bandar Seri Begawan must pass through four border checks and catch a 45-minute speed boat to complete the journey. The BND1.6 billion (USD1.2 billion) bridge will shave 70km off the journey. Brunei-based property development company, Eco-Green Development Sdn. Bhd. (“Eco-Green”) has announced to construct Temburong’s first luxury eco-resort with 30 chalet-style villas. The BND4.5 million two-hectare project will begin construction this month, slated to be completed by the end of 2020. Eco-Green has committed an additional BND300,000 to refurbish Temburong’s old district office into a tourist information centre. The Ministry of Primary Resources and Tourism also plans to invest BND387,000 into developing a river centre in Batang Duri to service boats cruising to Ulu Temburong National Park.

Chalet Hotels to Acquire Belaire Hotels, Owner of the Novotel Pune Nagar Road

India-based Chalet Hotels (“Chalet”) has entered a Share Purchase Agreement (“SPA”) to acquire India-based Belaire Hotels Private Limited, which owns the 223-key Novotel Pune Nagar Road, and its affiliate Seapearl Hotels Private Limited for an enterprise valuation of INR2.9 billion. The hotel will continue to be operated by India-based AAPC India Hotel Management Private Limited, part of France-based hospitality group, Accor S.A. (“Accor”) under a management agreement. This deal marks the beginning of Chalet’s tie-up with the Accor Group. The completion of the transaction is subject to the fulfilment of certain conditions as outlined in the SPA. Upon the acquisition, Chalet plans to fit out 88 rooms which are currently in bare-shell condition. The room count will increase to over 300 keys over the next 6-8 months with an estimated cost of INR220 million. The acquisition is in line with Chalet’s growth strategy of strengthening and expanding its portfolio to new destinations with strong demand potential.

Qatar Airways and Malaysia Airlines Announce Codeshare Expansion

Starting 27 January 2020, Qatar Airways and Malaysia Airlines will expand their codeshare cooperation. Currently, the mutual codeshare cooperation allows Malaysia Airlines’ passengers to book travel to ten US-based destinations served by Qatar Airways. The expanded codeshare agreement will allow passengers travelling with the Malaysian flag carrier to travel to 20 more destinations in Europe, America and Africa. The service departs from Doha to twelve destinations including Vienna, Brussels, Copenhagen, Frankfurt, Munich, Athens, Rome, Oslo, Barcelona, Madrid, Geneva and Zurich. The other eight destinations are Sao Paulo, Montreal, Paris, Lisbon, Moscow, Cape Town, Johannesburg and Stockholm, which are subject to regulatory approvals at this stage. Qatar Airways’ customers will also have access to four new destinations in Southeast Asia, including Sibu and Alor Setar in Malaysia, as well as Medan and Surabaya in Indonesia. This brings the total number of the airline’s codeshare routes in Malaysia Airlines’ network to 24.

Japan Airlines Announces New Codeshare Agreement with Shanghai Airlines

Japan Airlines (“JAL”) has signed a new codeshare agreement with Shanghai Airlines (“SHA”), a wholly owned subsidiary of China Eastern Airlines, to expand its international network in China. The codeshare agreement covers two new flight routes between Shanghai Pudong International Airport in China and Kansai International Airport as well as Toyama Airport in Japan. With daily services starting from 17 January 2020, both codeshare flights are operated by SHA. The Toyama-Shanghai route is operated on Tuesdays and Saturdays. Currently, JAL flies to five destinations in China, including Beijing, Tianjin, Dalian, Shanghai and Guangzhou while SHA flies to three destinations in Japan, including Osaka, Tokyo-Haneda and Toyama.

Absolute Share Price Performance, as on 24 January 2020