InterContinental Hotels Group (IHG) confirmed that it acquired a 51 percent stake in Regent Hotels & Resorts (‘Regent’) for USD 39 million in cash, payable in three tranches of USD 13 million. The news was first announced last March.
The first payment was paid on completion of the deal, while the second amount will be due in 2021 and the third in 2024. IHG will have the right to acquire the remaining 49 percent interest in a phased manner from 2026.
As detailed in the announcement published on 14th March 2018, IHG will bring Regent into its brand portfolio at the top end of the luxury segment and will accelerate its growth globally, supported by IHG’s powerful enterprise. IHG’s intention is to grow the brand from six hotels today to over 40 hotels in key global gateway city and resort locations over the long term.
IHG is already a global leader in the luxury segment with the world’s largest luxury brand, InterContinental Hotels & Resorts. The acquisition of Regent is in line with IHG’s focus on expanding its footprint in the fast-growing USD 60 billion luxury segment.