Who's who – NH Hoteles
Q So, in a nutshell, who is NH Hoteles?
A Spanish group NH Hoteles was founded in 1978 and has grown rapidly in recent years, aided by a series of acquisitions. Headquartered in Madrid, it is now the third largest business hotel chain in Europe, with 241 properties in 17 countries.
Q Why haven't I heard about the company if it's that big?
A The company has no properties in the UK, although it plans to open some here in the future. The UK is an important feeder market for the company's hotels, however, and NH has a five-strong sales team here. Other countries without an NH presence but a sales office or offices include Italy, France, the USA and Sweden.
Q What kind of hotels does it operate?
A The hotels vary enormously. More than half (56%) are leased, while the company owns 30% and manages the rest (14%). The majority are four-star but the group also has five-star offerings and a number of three-star properties, primarily on the outskirts of towns and cities. The aim is to cater to business travellers on different budgets.
Q Where does most of its business come from?
A NH Hoteles is primarily focused on business travellers, although the company has no figures for the split between leisure and corporate business. The most popular business destinations for its customers are the Netherlands and Spain.
Q How's the group doing financially?
A Over the summer the company announced a cost-cutting plan to generate savings of €8m (£5.5m) in 2003 and €22m (£15m) in 2004, freezing plans for new capital spending and selling off non-strategic properties. The company made the move after profits fell by 40% to €26m (£17.8m) in the first half of 2003.
Q What about the bigger picture?
A NH has been busy in the past few months rebuffing an unsolicited bid of €259m (£177m) for a 26% stake in the company from Spanish hotel chain Hesperia, which ended up with a stake of just less than 5%. Last year NH bought German firm Astron Hotels, adding to the acquisition of Mexican chain Krystal in 2001 and Dutch chain Krasnapolsky in 2000. So far this year the company has opened a hotel in Frankfurt, one in Budapest, and three in Marbella. Another 34 NH hotels are under development.
Q Is food an important element in the NH Hoteles offer?
A The group has amassed 11 Michelin stars. Martin Berasategui, who manages the restaurant at the NH Aránzazu hotel in San Sebastián, has three, as does the celebrated restaurateur Ferran Adrià NH Hoteles recently formed a partnership with Adrià to improve the dining. Early developments include "fast good" - basically high-quality fast food - and a design concept called Nhube (pronounced "noovay"), based on multifunctional spaces that combine eating and drinking with relaxation and leisure, offering entertainment, internet access, TV and music.
Q Are there any other strings to its bow?
A NH Hoteles manages the Casino de Madrid and has golf and leisure interests, which are controlled by Spanish leisure group Sotogrande, in which it has a 78% stake.
Your vital statistics
Head office: Santa Engracia 120, 28003 Madrid, Spain
Tel: 00 34 91 451 97 18
Web:www.nh-hoteles.com
Hotels: 241 in 17 countries, 30% of which are owned by NH, 56% leased and 14% managed
Bedrooms: 35,000-plus
Employees: 12,000-plus
2002 figures: total revenue €930.1m (£635.3m); hotel revenue €866.7m (£592m); operating profit €224m (£153m); and a net profit of €85.7m (£58.5m)
2002 occupancy rate: 66.5%
Who are you?
Gabriele Burgio: president and chief executive officer
Roberto Chollet: chief financial officer
Ignacio Aranguren: chief strategy officer
Isabel Aguilera: chief operating officer
Gustavo Gabrada: managing director of Sotogrande
Where are you?
Europe: Spain, Germany, Belgium, the Netherlands, Malta, Portugal, Switzerland, Bulgaria
Africa: Ghana, Tunisia and South Africa
South and Central America: Cuba, Chile, Argentina, Brazil, Uruguay, Mexico
