19/03/2014 – El Confidencial
BBVA and Amancio Ortega are lucky. The sale of the Occidental Hoteles invoked huge interest among industrial groups and private equity funds. Morgan Stanley that supervises the process picked the most interesting offers proposed by Barceló, Marriott and Posadas from Mexico.
Also, the pre-selection involved offers by: Grupo Playa allied with Host Hotel Resort, KSL Capital hand in hand with Iberostar and Caribbean Property Group in joint venture with Perella. AM Resort, Apple Vacation´s branch, has been outbid.
The Occidental Hoteles chain´s holding is represented as follows: 60% held by Valanza, 23% by Partler 2006 and the remaining 17% by Gregorio de Diego (…).
Both investors acquired the hotel group in 2007 for €700 million. Due to the worldwide recession and damage caused by hurricanes on the Caribbean Islands forced them to close a number of hotels. This brought €200 million losses from 2008 throughout 2011. The owners injected €100 million in the business to help it overcome the debt.
The company, that shed the emblematic Miguel Ángel hotel in Madrid, had to redeem €270 million in liabilities. The loan was granted by BBVA, La Caixa, Banco Popular, Banco Sabadell, Novagalicia and HSBC, among others. (…). In 2013, the hotel chain had the debt refinanced and profits returned.
Original article: El Confidencial (Agustín Marco)
Translation: AURA REE