InterContinental acquires 51% of Regent Hotels & Resorts

Closeup shot of two businessmen shaking hands in an office

A new week, a new set of acquisitions, this time in the world of hotels.

InterContinental Hotels Group (IHG) is set to acquire 51 per cent stake in Regent Hotels and Resorts for $39 million.

IHG will have the right to acquire the remaining 49 per cent interest in a phased manner from 2026.

According to IHG, the intention is to grow the brand from six hotels today to over 40 hotels in key global gateway city and resort locations over the long term.

Keith Barr, Chief Executive Officer of IHG, commented: “IHG is already one of the world leaders in luxury with our InterContinental Hotels and Resorts brand, but we see significant potential to further develop our global footprint in the fast-growing luxury segment.”

“We see a real opportunity to unlock Regent’s enormous potential and accelerate its growth globally.”

“In addition, by creating a dedicated luxury division, we will be bringing together some of the most experienced and respected people in the industry who will help drive our luxury offer, ensuring that our existing luxury brands continue to evolve and allowing us to bring in new brands such as Regent to enhance our brand portfolio,” Barr added.

The acquisition of Regent is part of one of IHG’s new strategic initiatives focused on continuing to expand its footprint in the fast-growing $60 billion luxury segment.

This initiative is supported by the creation of a new dedicated division to further enhance our capabilities in this area and will be funded by IHG’s efficiency programme, as outlined at our Full Year Results on 20 February.

IHG also announces today that following an extensive refurbishment due to commence in early 2020, InterContinental Hong Kong will become a Regent Hotel in early 2021. The hotel originally opened its doors in 1980 as one of the most iconic hotels to ever carry the Regent brand.

Steven Pan, Executive Chairman of Formosa International Hotels Corporation commented: “Regent was founded by legendary hotelier Robert H. Burns, who sought to combine Asian hospitality and Western elegance to create a leading luxury hotel brand.

“The brand has an unrivalled heritage at the very top end of the luxury segment and the flagship Regent Hong Kong was consistently voted the world’s best hotel in the 1980’s and 1990’s.”

“Returning the property to its original roots as a Regent hotel is symbolic of our ambition to return the brand to its former glory and will go down in history as one of the greatest brand comebacks in the hotel industry.”

“IHG shares our vision for the brand and has the ability to make our ambition a reality.”

“IHG has a deep understanding of how to protect what makes the Regent brand so unique and special, whilst at the same time ensuring that the brand can grow and thrive on a global scale.”

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