The owner of the Clayton and Maldron hotel chains – Dalata Hotel Group – has reached the point of having more properties in overseas markets than it does in its native Ireland.
Dalata recently reached agreement to sell its entire business to a Scandinavian consortium comprising hospitality and property businesses Pandox and Eiendomsspar, for €1.4bn; a deal awaiting both shareholder and regulatory approval.
It was the steady internationalisation of Dalata over the past decade which led to it being an attractive takeover target – first through its strong expansion, via both its brands, in the UK and more recently by taking its first steps in continental Europe, through openings in the Netherlands, Germany and Spain.
The group’s continuing expansion plan includes further properties in Britain and a more focused and aggressive push into mainland Europe.
Earlier this week, Dalata reported a 45%, year-on-year, drop in first-half profits, mainly due to the costs involved in carrying out the strategic review which ultimately led to its tentatively agreed deal.
Speaking on the back of those results, Dalata chief executive, Dermot Crowley said: “Growing a development pipeline whilst in the midst of a strategic review and ‘formal sales process’ is challenging and in that respect, I am especially pleased that we secured a second hotel opportunity in Edinburgh and our first hotels in Berlin and Madrid. We also completed the purchase of the Radisson Blu hotel in Dublin Airport which will be rebranded Clayton next year.
“Construction continues at our new Maldron hotel in Croke Park, our new Clayton hotel in Edinburgh and the extension at our Clayton hotel in Cardiff Lane. For the first time in the history of Dalata, when you include the pipeline rooms, we will have more rooms outside the Republic of Ireland than within it – we truly have become an international hotel company.”
