US private equity firm Lone Star is reportedly closing in on the acquisition of Jurys Inn, the troubled British hotel operator, in a deal potentially worth £700 mln (€930 mln).
US private equity firm Lone Star is reportedly closing in on the acquisition of Jurys Inn, the troubled British hotel operator, in a deal potentially worth £700 mln (€930 mln).
According to a news report in the Financial Times, the sale is within days of being finalised.
The company, which runs 31 hotels in the UK, Ireland and Czech Republic, was acquired by Irish property group Quinlan for £791 mln in 2007. The Oman Investment Fund, the Gulf country's sovereign wealth fund, bought a 50% stake in 2008.
To reduce its level of debt, the Group underwent a restructuring in 2013 in which private backers injected £120 mln of equity and its lenders - which include Irish Bank Resolution Corporation, Ulster Bank and Allied Irish Bank - agreed to a haircut of about 50%.
Royal Bank of Scotland, one of the company's lenders, became an equity shareholder by exchanging some of its loans.
