Transaction / Assets Seller Buyer € MM
KKR & Dunas Capital Purchase The Intertur Hotel Chain
9 May 2017 – Expansión
For €100 million / The hotel chain owns five hotels in Mallorca and Ibiza, containing 1,119 rooms. The new owners are going to modernise and reposition the assets.
The private equity fund KKR and the asset manager Dunas Capital have reached an agreement to purchase the hotel chain Intertur Hotels, which owns five establishments in Mallorca and Ibiza.
The terms of the transaction have not been disclosed, but sources in the market have indicated that the acquisition was closed for a price of just over €100 million. In addition, the investors plan to modernise and reposition the acquired hotel portfolio, which contains 1,119 rooms.
Freshfields, Deloitte, Bird & Bird and Deerns advised the buyers to the operation, whilst the law firm Buades advised the vendor.
Once the agreement enters into force, Alua Hotels & Resorts will be responsible for managing the hotels, which will be marketed under that brand from 2018 onwards. The Aula hotel group, in which the alternative asset manager Alchemy Partners owns a stake, manages 15 hotel assets and almost 3,200 rooms in the Balearic and Canary Islands.
Specifically, Intertur owns two hotels in Mallorca –Hotel Hawaii Mallorca & Suites and Palmanova Bay, both in Palma Nova–, and three assets in Ibiza –Hotel Hawaii Ibiza (in San Antonio) and apartments and a hotel (in Santa Eulalia)–.
Guillaume Cassou, Head of European Real Estate at KKR, said that this portfolio constitutes a “very solid base” for creating value in a market that is benefitting from a very favourable environment and he underlined the interest expressed by KKR, Dunas Capital and Alua in “undertaking more projects together”.
Original story: Expansión (by Rebeca Arroyo)
Translation: Carmel Drake