Jurys Inn sale in UK and Ireland valued at €900m

Jurys Inn, which owns five hotels in Ireland and 31 in Britain, looks set to be bought for around €900m by Swedish hotels group Pandox.

The impending sale comes after Jurys Inn owner, the US equity fund giant Lone Star which has owned the hotels for the past three years put them on the market earlier this year.

At one stage Lone Star had appeared set to seek a stock market listing for its hotels.

About 25 other hotels owned by Lone Star in the UK and Ireland, including those operated by Accor, are not part of the transaction.

Estates Gazette reported that Lone Star had picked Pandox as the preferred bidder after fighting off rivals, including Queensgate Investments and London & Regional.

Stockholm-based Pandox owns 122 hotels across northern Europe, as well as in Canada. Its shares which rose slightly yesterday have risen 13% in the past year. A spokesman in Stockholm said the company wouldn’t be adding to a statement released by the hotels firm on the transaction.

That statement was limited to confirming that it was in the final stages of talking about “the possibilities for a major acquisition”.

“The acquisition concerns a hotel portfolio focused on larger cities in Great Britain and the Republic of Ireland. Pandox would like to emphasise that the deal is complex and that current negotiations may not necessarily lead to an agreement, and that it is not certain that the transaction will be successfully concluded,” the Swedish company said.

Irish hotel groups appear to have ruled themselves out of bidding for the hotels at an early stage. Davy analyst Joseph Quinn said that rival hotel group Dalata was focused on growing in the UK.

More in this Section

IMI launch new IDA-backed leadership course for managers of FDI giants in Ireland

Profits surge at firms of Irish rugby players as pub firm prospers

Investors weigh prospects for Irish shares under probable new hard-Brexiteer British prime minister

Cork to be 'most walkable city' in transport plan


Lifestyle

Gardening: Something for everyone at Chelsea Flower Show

The Wine List: Will 2019 see the rise of rosé in Ireland?

The Menu: Food news with Joe McNamee

The Currabinny Cooks: Crab dishes give a great sense of homely cooking

More From The Irish Examiner