easyHotel agrees terms of cash offer to boost European expansion
London-headquartered hotel chain easyHotel has reached an agreement for a cash offer with one of its existing shareholders.
Bidco, a newly incorporated company owned by Cadim Fonds Inc - part of real estate developer Ivanhoé Cambridge - and easyHotel shareholder and real estate fund manager ICAMAP Investments, has agreed terms for the offer with the hotel chain.
Jonathan Lane OBE, chairman of easyHotel, explained: “The independent easyHotel directors consider that the offer is fair and reasonable and in the best interests of shareholders, the company, its employees and wider stakeholders.
“If accepted, the offer should enable the easyHotel Group to accelerate its expansion into major European cities where it sees significant opportunity, underpinning the long-term growth and prosperity of the easyHotel brand.”
Shareholders will receive 95 pence per share as part of the deal, with Bidco expected to retain ICAMAP’s existing shares.
Harm Meijer, managing director of ICAMAP Advisory S.à r.l. and one of the founding partners of ICAMAP, commented: “We have been a shareholder in easyHotel since October 2016 and have been the principal supporter of two capital raises. We continue to believe in the long-term strategy of the business.
“However, we also believe that the Company needs a change in its shareholder base in order for easyHotel to become a true leading pan-European budget hotel player.
“We believe that the change of ownership which our offer will deliver is essential to enable easyHotel to navigate the current market uncertainty and to thrive in the future.”
Karim Habra, head of Europe for Ivanhoé Cambridge, added: “We are pleased with our proposed investment in easyHotel, a disruptive and innovative model that has already proven its success and has the potential for the creation of a leading European budget hotel platform.
“Alongside our partner, we intend to support the Company’s growth and expansion across Europe. This investment aligns with our objectives to diversify in new strategies by seeking value-creation opportunities.”
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