Jurys Inn Hotel Group, the leading mid-market hotel group, has successfully completed a financial restructuring.
The restructuring has been achieved by the existing shareholders, Oman Investment Fund and Avestus Capital Partners, working closely with Jurys Inn lenders IBRC, Ulster Bank and AIB and the Jurys Inn management team. It will see a group of leading institutional investors with extensive capital resources, comprising existing and new shareholders, commit significant new long-term equity as part of a restructuring of the Group’s finances and a substantial strengthening of its balance sheet.
Jurys Inn’s new investor group comprises Oman Investment Fund, Mount Kellett Capital Management LP, a global, multi-strategy investment fund in partnership with Avestus Capital Partners; Ulster Bank, a member of The Royal Bank of Scotland Group; and Westmont Hospitality Group, one of North America’s largest privately owned specialist hotel investors.
Building on strong operating performance
In addition to receiving new equity, the Jurys Inn bank debt has been significantly restructured and extended. The revised balance sheet structure will allow the Group to build on its strong operating performance, which has seen profit as well as revenues grow each year over the past three years. This was underpinned by an ongoing programme of capital expenditure which has seen over £27 million invested in the extensive refurbishment and renovation of Jurys Inn’s existing hotel properties, as well as its online booking and IT platforms.
Comment from John Brennan, CEO of Jurys Inn Hotel Group:
“Today’s announcement is great news for all our employees, customers and suppliers and is a very strong vote of confidence in our business. We are especially delighted to have attracted such a prestigious group of long-term, well-capitalised, institutional investors with global experience in the hospitality sector.
“By choosing to take a stake in the future success of the business, they have recognised the value of our business and management team, which has been reflected in our strong operating performance over the past three years.
“The Company is performing very well and has seen increased occupancy and market share during 2011 and 2012. The combination of great city centre locations, well invested contemporary hotels and great value for money is proving increasingly popular.
“Of particular note is the growing penetration Jurys Inn is achieving in the corporate market and today’s announcement allows us to further develop the business over the years ahead.”
About Jurys Inn
Jurys Inn currently employs approximately 2,000 people and operates 24 hotels in the UK, seven in Ireland, and one in Prague. Its consistently high customer service scores and employee satisfaction ratings have been reflected in a range of major industry accolades including:
• 2012 Business Travel Awards
Jurys Inn won Best Hotel Brand for a second time (2010 & 2012)
• 2012 and 2013 Best Irish Hotel Chain
Voted for by Irish travel industry professionals
• 2012 Green Tourism Business Scheme (GTBS)
Jurys Inn continues to be the UK’s only Green Hotel Group recognised by the GTBS with 30 of its hotels achieving Gold status
• Investors in People 2011
Jurys Inn is the first international hotel group to attain the Gold accreditation for Investors in People 2011