Queens Moat to sell off 25 hotels
Saturday 20 April 1996
Andrew Coppel, chief executive, said the portfolio being disposed of comprises 19 hotels branded under the County name and six Moat Houses. Deutsche Morgan Grenfell and Christie & Co have been appointed to handle the sale.
Queens Moat has been steadily running down its interest in country-house- type hotels which do not fit into its core Moat House brand, situated on the edge of towns or on main routes or both. Last year, the group put 16 of its County hotels on the market and sold eight. It has sold a further three since December, including last month's sale of the Europa, near Newcastle-upon-Tyne, which was sold to Stakis for pounds 3.4m in March at the time of its results. The group said then that a further 27 hotels were earmarked for disposal.
Analysts pointed to the similarities between Queens Moats' County hotels and the White Hart chain recently sold by Forte to Regal Hotels. Forte, now owned by Granada since its successful takeover bid, received pounds 122m for White Hart. The County hotels are viewed as better quality, with estimates for their value ranging from between pounds 50m and pounds 60m to as much as pounds 100m.
It is understood that the group is hoping to find a single buyer for the whole portfolio, but has not had any indications of interest as yet. There are no plans to sell any more of the Moat House chain after completion of the latest disposal, which will leave the group with 52 hotels largely under the brand name in the UK. The group continues to own a substantial portfolio in the rest of Europe.
News of the latest plans comes hot on the heels of results showing that pre-tax profits of pounds 42.4m last year replaced losses of pounds 95.2m in 1994. The figures would have been much worse but for pounds 48.8m of interest waived under last year's pounds 1.3bn capital restructuring, which cut borrowings that stood at pounds 1.28bn at the end of 1994.
Stanley Metcalfe, chairman, reported "satisfactory" trading in the opening months of the new financial year. While he was cautiously optimistic about the UK, prospects for growth in Germany and France were not good, he said.
Despite the huge problems still facing the group, the shares have soared since being re-listed at 3p last May following a two-year suspension.
And why are 'southern' ways of speaking spreading north?
life + styleClarissa Baldwin is the brains behind the slogan 'A Dog is for Life not just for Christmas'
Is this the scariest advert ever? Japanese tyre commercial comes with its own disclaimer and health warning
Rapper Ja Rule forced to deny leaving his wife for prison cell mate
Paul Walker autopsy: Results reveal Fast and Furious star's cause of death
Scientists sequence oldest human DNA from fossilised leg bone found in Spain
UK weather: Two dead and 100,000 homes without power as 100mph storm batters Scotland – now biggest tidal surge in 60 years threatens east coast
- 1 Is this the scariest advert ever? Japanese tyre commercial comes with its own disclaimer and health warning
- 2 A forgotten episode in Russian history leaves links with the Philippines
- 3 Scientists sequence oldest human DNA from fossilised leg bone found in Spain
- 4 Cannabis can cause man boobs, US surgeon claims
- 5 Joanna Lumley’s garden bridge over the Thames gets £30m seal of approval from Government
iJobs Money & Business
£50000 - £65000 per annum + benefits + bonus: Harrington Starr: Market Data SM...
£50000 - £70000 per annum + benefits + bonus: Harrington Starr: Business Analy...
£70000 - £85000 per annum + benefits + bonus: Harrington Starr: Business Analy...
£75000 - £85000 per annum + Bonus and Benefits: Harrington Starr: An award win...