Landlords and creditors back controversial Travelodge rescue deal
Wednesday 05 September 2012
Travelodge was thrown a lifeline yesterday as landlords and creditors backed a controversial rescue deal. Creditors – including landlords across the UK – voted in favour of the plan that will see rent payments slashed across more than 100 hotels and 49 hotels offloaded to other operators.
The company voluntary arrangement (CVA) is designed to allow Travelodge to exit poorer performing leases while also free itself of a crippling debt burden.
A number of the hotels are owned by millionaire Nick Leslau's investment vehicle Prestbury, which is understood to have supported the move.
The group, which operates more than 500 hotels across the UK, Ireland and Spain with more than 6,000 staff, secured backing from 97 per cent of Travelodge creditors that voted, including 96 per cent of landlords.
The deal means Travelodge will be able to shake off some of the mammoth debts it has inherited from former private equity owners.
Its three main lenders – Goldman Sachs and two US hedge funds, Avenue Capital and GoldenTree Asset Management – have already seized control of the chain from Dubai International Capital, which paid £675m for Travelodge in 2006.
- 1 BBC told new political editor must be 'impartial' with Nick Robinson reportedly stepping down
- 2 Number of young homeless people in Britain is 'more than three times the official figures'
- 3 Humans of New York image of crying gay teen receives best response yet from Ellen DeGeneres
- 4 The map showing the most dangerous tourist destinations in Europe, according to the Foreign Office
- 5 Swedish minister gives strongest case yet on why EU should stop turning away asylum seekers
BBC told new political editor must be 'impartial' with Nick Robinson reportedly stepping down
Isis propaganda video shows 25 Syrian soldiers executed by teenage militants in Palmyra
Number of young homeless people in Britain is 'more than three times the official figures'
Humans of New York image of crying gay teen receives best response yet from Ellen DeGeneres
The map showing the most dangerous tourist destinations in Europe, according to the Foreign Office
More Britons believe that multiculturalism makes the country worse - not better, says poll
Nathan Collier: Montana man inspired by same-sex marriage ruling requests right to wed two wives
Greece crisis: IMF was pushed around by Angela Merkel and Nicholas Sarkozy – and now it is being humiliated
Forget little green men – aliens will look like humans, says Cambridge University evolution expert
Girl, 7, stares down hate preacher at Ohio festival with pro-LGBT rainbow flag gesture
Osborne to cap family benefits at £23,000 – announced ahead of his post-election Budget
iJobs Money & Business
£15000 - £17000 per annum: Recruitment Genius: This company offers a range of ...
£15000 - £16000 per annum: Recruitment Genius: Customer Service Advisors are r...
£20000 - £25000 per annum + OTE £45K: SThree: SThree were established in 1986....
£40000 - £60000 per annum: Recruitment Genius: A Compliance Manager is require...