Norwich Union buys nine hotels
Saturday 31 July 1999
The Hilton hotels, located across England and Scotland, will be managed under a pounds 1.4m, 34-year leasing agreement by Jarvis Hotels, the three-star chain headed by former Hilton boss John Jarvis. Norwich Union's purchase of the properties will bring the total number of hotels in its portfolio to 20 but the nine former Hilton hotels, which had a combined turnover of pounds 23.7m last year, will now be branded under the Jarvis name.
A spokesman for Hilton said the company had decided to divest itself of the hotels to reduce its pounds 1.4bn debt. He added: "These are small, provincial hotels that do not fit the Hilton brand standard."
The nine properties were among 13 hotels Hilton put on the market in May. The company has already sold one of them for an undisclosed sum and is still in negotiations to sell the last three. Further rationalisation of the group's interests is expected following its pounds 1.16 acquisition of Stakis in February, which doubled Hilton's room count.
Mr Jarvis described the deal as "elegant" and said he hoped that in a full year, the new hotels would contribute pounds 2m to his company's profits before tax, which last year reached pounds 32m.
Hilton shares rose 6.25p to 245.25p; Jarvis Hotels rose 2p to 147p and Norwich Union rose 2.25p, to 402.5p.
- 1 Scottish referendum: So how about the English now being given a chance to split from England?
- 2 Friends 20th anniversary: Alison Jackson photographs reunited cast
- 3 London council removes 'unacceptable' Stamford Hill posters telling women which side of the road to walk down
- 4 The response to my Pizza Express review has been overwhelming, and taught me a lot about journalism
- 5 Free U2 album: How the most generous giveaway in music history turned into a PR disaster
Scottish independence referendum: Frankie Boyle reacts to nation's 'No' vote - 'To be fair, I've always hated Scotland'
London council removes 'unacceptable' Stamford Hill posters telling women which side of the road to walk down
Iranian blogger found guilty of insulting Prophet Mohammad on Facebook sentenced to death
Scottish referendum: Police struggle to control Unionist rally in Glasgow's George Square
Hitler’s former food taster reveals the horrors of the Wolf’s Lair
Daniele Watts: Django Unchained actress detained by Los Angeles police after being mistaken for a prostitute
Scottish independence referendum: A nation divided against itself
Scottish referendum results: Cross-party consensus collapses amid Tory-Labour spat on the 'English question'
Scottish independence: David Cameron is becoming the 'George Bush of Britain'
Russia freezes Ukraine into submission: Kiev admits country doesn't have enough fuel for winter
Scottish independence: The Queen breaks silence on referendum debate – as think tank warns of £14bn black hole if Scotland votes Yes
iJobs Money & Business
£400 - £450 Per Day: Clearwater People Solutions Ltd: **URGENT CONTRACT ROLE**...
Up to £100k or £450p/d: Saxton Leigh: My client is a leading commodities tradi...
£320 - £330 per day: Ashdown Group: The Ashdown Group have been engaged by a l...
To £75,000 + Pension + Benefits + Bonus: Saxton Leigh: My client is looking f...