Member Article

easyHotels plans to raise £60 million from its flotation

In an apparent week of flotations, easyHotel, the international owner, developer, and operator of super budget branded hotels, has announced that the Company intends to proceed with an IPO.

The offer will comprise a placing of ordinary shares with institutional and professional investors to raise up to £60 million.

Investec Bank plc is acting as nominated advisor, sole bookrunner and broker to the Company.

easyHotels has an international portfolio of 20 hotels; two wholly-owned freehold hotels, one long leasehold development site and 17 franchised hotels.

Simon Champion, CEO, said “I look forward to creating significant value and growing the business. I have enjoyed working with Stelios, and am delighted he will remain a significant shareholder. I am also very pleased to work with our strong incoming Board, who add property, hotel and international knowledge and experience to our business.”

Jan Åstrand, Chairman of easyHotel, stated “easyHotel has a proven model of high returns on capital invested, and has the potential to create significant shareholder value by wisely investing in major European gateway cities.

“easyHotel’s customer profile today is extremely international and gives us confidence that with the monies raised we can grow further in London and Europe, as well as pursuing franchise opportunities further afield.”

Sir Stelios, founder of easyHotel and owner of easyGroup commented : “I see easyHotel as one of the best, most natural extensions of the easy brand from the airline. easyHotel is raising money to accelerate growth at a much faster rate than I could have grown it as a private company, whilst enabling me to spend more time on my diversified portfolio of other investments.

“I will retain a significant minority stake post IPO, and I am delighted to hand over to a strong Board with a clear growth strategy to take this company forward to became one of the best known hotel brands in the world.”

This was posted in Bdaily's Members' News section by Clare Burnett .