This acquisition comes after a 14% drop in Dalata's annual pre-tax profit, from €105.5m to €91.2m. In March, management launched a strategic review, believing that the market was undervaluing the group. After an initial offer was rejected, discussions finally led to this transaction.
A special investment vehicle has been created for the transaction: Pandox Ireland Tuck Ltd. Stockholm-based Pandox will hold 91.5% of the entity, while Oslo-based real estate company Eiendomsspar will own 8.5%, the partners said.
Dalata is:
It has 56 hotels in four countries. 31 are wholly owned or on long-term leases, 22 are leased and three are under management agreements. The properties are operated under the Clayton and Maldron brands.
However, this partnership goes further. Pandox and Scandic have signed an option for Scandic to acquire Dalata's operating business for an estimated of €500m, excluding debt and adjustments. Scandic will become the sole operator of the entire Dalata portfolio, consolidating its leading position in Northern Europe. Scandic is therefore waiving the previously announced share purchase of €500m.
This aims to separate Dalata's real estate and hotel activities once the transaction has been completed.
