MEXICO CITY, Aug. 27, 2018 (GLOBE NEWSWIRE) -- Grupo Hotelero Santa Fe, S.A.B. Of C.V. (BMV: HOTEL) ("HOTEL" or "the Company"), one of the leading companies in the hotel industry in Mexico, announces the signing of a contract to acquire 50% of the Cleviá Grand Leon hotel. The 5-star hotel which is in its final stages of completion is located in Leon, Guanajuato and has 140 rooms. Currently brand alternatives for the property are being evaluated.
The value of the asset is Ps. 383 Million. Out of the total investment, Ps. 127 million are debt and HOTEL contributed Ps.128 million which represent 50% of the equity and will consolidate the hotel in its financial statements. The other 50% equity stake will remain with the group of private Mexican investors who previously owned the hotel.
The property is in “Puerta Bajío”, a premium location in a mixed-use real estate development including a shopping mall, residential apartments and office space. It is in the north of the city in the “zona dorada” one of the fastest growing areas in the city.
This acquisition is aligned with our diversification strategy which contemplates growth in the urban hotel segment with local partners. Including this transaction, the Company’s portfolio will reach 26 hotels and 6,490 rooms in 17 cities in Mexico, including hotels currently in construction or expansion. The Company will continue seeking and analyzing investment opportunities in hotels and properties as well as third-party hotel management contracts in the ordinary course of business.
About HOTEL
Hotel is a leading company in the Mexican hotel industry, focused on acquisitions, use conversions, development and operation of its own hotels as well as third party-owned hotels. The Company focuses on strategic hotel location and quality, a unique hotel management model, strict expense control and the proprietary Krystal® brand as well as other international brands. As of year-end 2017, the Company employed over 3,200 people and generated revenues of Ps. 1,581 million. For more information, please visit gsf-hotels.com
Legal Note on Forward Looking Statements: The information provided in this report contains certain forward-looking statements and information related HOTEL and its subsidiaries which are based in the understanding of its managers, as well as in assumptions and information currently available for the Company. Such statements reflect the current view of Grupo Hotelero Santa Fe in regard to future events subject to a number of risks, uncertainties and assumptions. Several features may cause that the results, performance or current achievements of the Company may differ materially with respect to future results, performance or attainments of Grupo Hotelero Santa Fe that may be included, expressly or implied within such statements in regard to the future, including among others, alterations in the economic general conditions and/or politics, governmental and commercial changes globally or within the countries in which the Company has any business interests, changes in the interests rates and inflation, exchange rates volatility, changes in the demand and regulations of the products marketed by the Company, changes in the price of raw materials and other goods, changes in the business strategies and several other features. If one or more these of risks or uncertainties are materialized, or if the assumptions used result to be incorrect, the real results may materially differ from those described herein as anticipated, believed, expected or envisioned. Grupo Hotelero Santa Fe undertakes no obligation to update or revise any forward-looking statements.
Contact Information
Enrique Martínez Guerrero CFO +52 55 5261 0800
Maximilian Zimmermann IR Director +52 55 5261 4508
