Hotelier brothers snap up Wigan venue in deal backed by Allied Irish Bank

Talash Hotels Group has acquired a hotel in Wigan with funding from Allied Irish Bank (GB).

The Warwickshire-based hospitality group purchased the Mercure Wigan Oak, adding to a growing portfolio that includes the Mercure Chester Abbots Well and Chimney House Hotel in Sandbach.

In addition to its 88 guest bedrooms, the Mercure Wigan Oak is a wedding-licenced venue comprising a restaurant, bar and eight meeting rooms.

The deal is Talash’s second to receive support from Allied Irish Bank (GB), following the company’s acquisition last April of the four-star Quorn Country Hotel in Leicestershire.

Talash Hotels is headquartered in Leamington Spa. Founded in 2007 by brothers Sanjay and Ravi Kathuria, today the group operates 11 hotels.

Sanjay and Ravi plan to grow that figure to 20 by 2020.

AIB (GB)’s Birmingham-based team was led by hospitality sector specialist Morgan Keating, who worked on the transaction with senior relationship manager Mark Duggan.

Morgan Keating said: “Sanjay and Ravi are building a collection of hotels to which they bring not just their extensive experience to add value to the businesses they select, but also a philosophy of offering a genuine hospitality to their guests.

“This ethos, combined with the brothers’ business acumen is proving a powerful strategy in a market which has become increasingly competitive in recent years due to the popularity of the sharing economy, through websites such as airbnb, continuing to put pressure on traditional hotels.”

Sanjay commented: “It’s been great to team up with Mark, Morgan and their colleagues at AIB (GB) again. They’ve been brilliant from start to finish, enabling us to complete the deal swiftly, allowing us to maintain our focus on running the Group.

“Mercure Wigan Oak has huge untapped potential. Our plan is to build the business further by investing in the hotel, particularly its conference and banqueting facilities to capitalise on an increasing demand for business and private functions in the area.”