Premier Hotels & Resorts has just announced its acquisition of the Faircity Hotel Group for an undisclosed amount. The transaction is subject to a due diligence exercise and Competition Commission approval.
Samuel Nassimov, md of the Premier Group, said in a media release that the deal would see Premier acquire all Faircity hotels, management contracts and personnel (who will be amalgamated into the Premier Group). He said Faircity brands and trademarks would stay intact for the foreseeable future, for ease of customer recognition and business continuity.
The deal will add some well-known three- and four-star properties to Premier Hotels’ existing 18-hotel collection. The added hotels are the Falstaff and Quatermain in Morningside, Sandton; Mapungubwe near Newtown in Johannesburg city; Roodevallei and Kievits Kroon near Pretoria; Grosvenor Gardens Apartments, Pretoria; and Junction Apartments in Menlo Park, Pretoria. With the deal, Premier adds a further 535 rooms to its existing portfolio of over 2 000, and increases its offering in the arena of conferencing, cuisine and leisure facilities.
Samuel said: “We have confidence in the potential of our great country and believe domestic and international business and tourism confidence will benefit our group and the economy in the years to come.”
Premier currently owns and operates properties across Gauteng, KZN, Mpumalanga, Eastern and Western Cape, and will launch in Bloemfontein in June. It is scheduled to open two new hotels in Umhlanga before the end of the year, representing a R350m investment.