Guy Hands founded firm considers bid for Hotel du Vin and Malmaison

The private equity firm founded by Hand Picked Hotels owner Guy Hands looking into an offer to purchase Hotel du Vin and Malmaison from Frasers Hospitality Group.

According to reports in Sky News Terra Firma Capital Partners, which is run by Hands’ son Richard, is among a number of potential buyers for the group that Frasers Hospitality acquired for £363m in 2015.

There are currently 18 Malmaison hotels and 19 Hotel du Vin properties across the UK.

In June The Caterer reported that Fortress Investment Group, the US investor behind the Loungers bar group, was reportedly eyeing a takeover of the Hotel du Vin and Malmaison hotel chains. It is not clear whether the business is still involved in talks, which are being handled by commercial property agent Cushman & Wakefield (C&W) is handling the auction of the hotel group.

Hotel du Vin was founded by hotelier Robin Hutson in 1994 and has changed hands several times over the years. It was sold to Marylebone Warwick Balfour, then owner of Malmaison, for £66m in 2004.

The group was then acquired by private equity firm KSL in 2013 for a rumoured £200m before being acquired up by their current owner, Singapore-owned Frasers Hospitality Group, for £363m in 2015.

The group has struggled to remain profitable the last few years, with pre-tax losses at Frasers Hospitality UK Holdings widening from £8.8m in 2023 to £9.8m in 2024. This was despite revenue rising from £164m to £170m over the same period.