Dalata Hotel Group Raises €265m As IPO Oversubscribed
Published on Mar 18 2014 3:23 PM in Hotel
Irish hotel operator the Dalata Group has raised €265 million from listing its shares in Dublin and London.
Dalata raised more that its targeted €150 million to €200 million and said the proceeds would be used to acquire a portfolio of some 16-25 hotels throughout Ireland and to pay down debt of €4.1 million.
The placing values the company's issued and to be issued share capital at €305 million.
Dalata said the placing attracted strong institutional investor interest, resulting in an over-subscribed placing.
The Group currently operates 34 hotels in Ireland and the UK, with over 5,300 bedrooms and about 2,500 employees, including 13 Maldron hotels.
"We are pleased to welcome quality international institutions as shareholders on admission and believe that this reflects the strength of our investment case and prospects," said CEO Pat McCann, the former chief executive at Jury's Doyle hotel group.
"The capital raised through this placing will allow Dalata to pursue its strategy of acquiring a portfolio of Irish hotel assets," he said.