Sarasola Increases Stake In Room Mate To 70%

7 July 2016 – Expansión

The President of Room Mate, Enrique Sarasola, has purchased an additional 20% stake in the hotel chain that he founded in 2003, allowing him to take control of 70% of the share capital. The remaining 30% is held by Sandra Ortega, through the company Rosp Corunna.

Specifically, Sarasola has signed a contract, through his company Tafay 2000, to acquire the 14% stake controlled by Basphon Investment and the 6% stake held by Berbaz Familiar. Basphon Investment, a company owned by Pedro Agustín del Castillo, President of Binter Canarias, acquired its stake in Room Mate in 2009; meanwhile Berbaz Familiar, an investment vehicle owned by the Sanzol family, has been a shareholder since 2004.

This change allows the company to address its business plan for 2015-2019 with a more stable shareholder base, who are more focused on the “day to day” running of the company, explains Sarasola. The President of Room Mate and Bemate.com says that Basphon and Berbaz were “more financial” investors, who have identified an opportunity to exit the company and achieve a good return.

Forecasts

The Director considers that this movement is yet another example of his confidence in the company and he highlights the results achieved in recent years. Based on the company’s forecasts, Room Mate will close 2016 with a turnover of €68.3 million, which represents an increase of 22% with respect to 2015. The hotel chain generated revenues of €25.7 million during the first five months of the year, 48% more than in 2015.

Room Mate’s hotels recorded an average occupancy rate of 85.8% during the five months to May 2016, whilst its RevPar (revenues per available room) amounted to €127.30, 13.3% higher than during the same period last year.

Room Mate Hotels owns more than 1,500 rooms, has a presence in six countries and twelve cities and will open eight new hotels over the next ten months. In 2016, 65% of Room Mate’s revenues will be generated overseas.

Sarasola predicts that this summer will “break all records” and he highlights the strong performance of domestic tourism. In any case, the Director emphasises the need (for Spain) to form a new Government and he expressed his “concern regarding the Ministry of Tourism because since the Minister left, it has not been operating with the necessary degree of transparency”.

Original story: Expansión (by Rebeca Arroyo)

Translation: Carmel Drake

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