BANGKOK Minor International PCL has successfully acquired a controlling stake in Australia-based Oaks Hotels & Resorts Ltd.
The newly purchased 34.4% stake that had been held by PricewaterhouseCoopers as receivers and managers takes Minor’s interest in Oaks to a 54.3%. Under the terms of the investment, Minor is offering Oaks shareholders A$0.52 for every Oaks share held, valuing Oaks’ equity at approximately A$90 million. The acquisition requires regulatory approval.
In March, Minor—parent company of the luxury Anantara Resorts, Hotels & Spas brand—announced its intention to acquire a majority stake in the operator of 38 serviced apartment hotels across Australia, New Zealand and the Middle East. At that time, Minor acquired a 19.96% stake in the company with an investment of A$12 million.
The hospitality division of Minor International, Minor Hotel Group, currently boasts a portfolio of 35 hotels operating in eight countries. The investment in Oaks is Bangkok-based Minor’s first foray into the Pacific and doubles the company’s hotel interests to more than 70 properties with approximately 8,800 guestrooms across Asia, the Indian Ocean, the Middle East and Australasia.
Oaks was created in the early 1990s and has become became one of Australia’s largest hotel and resort operators, specializing in serviced apartment management. Led by effective strategies in strata-titled property management and a unique market position, Oaks has become one of the leaders in the fast-growing MLR (management letting rights) segment of the Australia accommodation market.
“With a majority stake in Oaks Hotels & Resorts, we intend to grow and develop the brand by drawing on all of Minor Hotel Group’s strengths to great effect,” says Dillip Rajakarier, chief operating officer of Minor Hotel Group. “With a proven track record in the market and a solid pipeline of growth within Minor Hotel Group, we have the leadership team and the skill set in place to ensure the continued development and financial success of the Oaks brand.”
