Duff & Phelps is pleased to announce that it has recently helped restructure a group of 21, 4-star hotels situated across the United Kingdom.
About the Group of Hotels
The group operated 21, primarily freehold hotels, situated across the UK offering over 2,800 ensuite bedrooms and over 220 meeting rooms, together with golf courses and health clubs. The Group was highly-leveraged due to historic property acquisitions and the downturn in the property market in recent years, then further destabilised by the insolvency of its Irish bank lender.
Role of Duff & Phelps
Following the acquisition of the secured loans by a new lender, Duff & Phelps worked with the new lender and the Group to agree and implement a restructuring plan which resulted in asset transfers to a new less leveraged Group.
Duff & Phelps’ role resulted in the secured lender being returned c80% of its indebtedness and the Group being sold via a pre-packaged administration process. Duff & Phelps’ also assisted the Group with transitional management and post-integration improvements. The Group had c2,400 employees and there were no redundancies made in the process.