BANGKOK (Reuters) - Thailand’s Singha Estate Pcl, the property arm of Singha Corp, said on Tuesday it was in talks to buy more hotel assets in the United Kingdom, after the acquisition of U.K.-based Jupiter Hotels for 155 million pounds.
Singha Estate aimed to double its revenue to more than 6 billion baht ($169 million) in 2016 as it was looking to expand through acquisitions at home and overseas, chief financial officer Methee Vinichbutr told reporters.
Jupiter Hotels owns and manages 26 U.K. hotels operating under the Mercure brand with a total of 2,883 rooms. It also manages another six hotels for other owners in the U.K.
“Several operators in U.K. have approached us to sell hotel assets,” Methee said, adding the company will use the Mercure brand to manage other hotels if an acquisition is concluded.
Singha Estate is part of Boon Rawd Brewery Group, the maker of Thailand’s best known Singha beer.
Singha’s unit S Hotels and Resorts Ltd joined with Fico Holdings (UK) Ltd to set up a joint venture, FS JV Co, to acquire Jupiter Hotels from Patron Capital and its partner Royal Bank of Scotland to expand into the European hospitality market.
The Thai firm received a two-year bridge loan of 120 million pounds from Krung Thai Bank to finance the acquisition, and Singha is also considering refinancing the debt for longer terms, Methee said.
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Reporting by Manunphattr Dhanananphorn; Writing by Khettiya Jittapong; Editing by Sunil Nair