The 60-bedroom Ruthin Castle hotel in Ruth, North Wales, has been sold via a pre-pack agreement after falling into administration.
On being appointed as administrator of the Grade II-listed building, accountancy firm KPMG immediately sold the business to a joint venture company, Ruthin Castle Estates, incorporating private equity firm Kepler Capital, Prima Hotel Group and existing management.
The sale will ensure the security of all 100 jobs at the hotel, which is now being operated and branded as a Prima hotel. Prima Hotels owns and operates a group of seven four-star hotels which include Nunnsmere Hall and Stanneylands, both in Cheshire.
The new owners have agreed to honour all bookings, including all residential stays, weddings and spa treatments.
Anthony Saint-Claire, a director of Ruthin Castle Estates, said: "I am delighted that we have been able to restructure the business and come to an agreement which secures its future trading and the ongoing employment of all staff."
Paul Dumbell, joint administrator and director at KPMG, added: "In recent years, Ruthin Castle had invested heavily in a substantial refurbishment of the hotel in order to achieve a four-star listing. It is therefore great news that we've been able to reach a conclusion which ensures the hotel remains open, and which minimises disruption to staff, suppliers and customers alike."
Standing within the site of a medieval castle, the current Victorian property was bought by Anthony and Amanda Saint-Claire in 2004. With some assistance from the Welsh Governement Toruism Investment Scheme, they have since spent more than £4m on the development and refurbishment of the property.
The hotel is known for accommodating Prince Charles en route to his investiture as Prince of Wales in 1969.