Independent hotel chain Menzies has been snapped up by a Japanese venture capital firm for £120m.
Nikko Principal Investments has bought the four-star chain, which operates 14 hotels throughout the UK.
Menzies Hotels, led by chairman founder Nick Menzies, has been on the hunt for some time for a suitable buyer to inject cash into the business to fund expansion and development.
Talks with one investor, which could have led to the chain doubling in size, collapsed in October.
The deal was announced yesterday and gives Nikko, which includes motorway services group RoadChef among its holdings, a valuable foothold in the UK hotel market.
Nick Menzies said the deal would allow the business to move "on to its next level".
Brian Berry, chief executive of Nikko Principal Investments, said the investment would give it a chance to "build a substantial position as an owner/operator of upscale hotels in the UK".
by Nic Paton
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