PPHE Hotel Group announces strategic review to explore sale options

PPHE Hotel Group is to undertake a strategic review ahead of a potential sale of the business.

Earlier this month, it was reported the hotel group’s biggest shareholders were believed to be considering options for the business, including selling their stakes.

As part of the strategic review, the board will consider options to maximise shareholder value and introduce growth capital into the group.

A potential sale of “all or part of the issued share capital of the group” is also on the cards, according to a notice filed on the London Stock Exchange.

However, it also confirmed the company is “not in any active discussions with any potential offeror and is not considered to be in receipt of an approach from any potential offeror” at this time.

The board has invited expressions of interest from various parties that “understand the full potential of the company”.

It was stated the review will take into account the views of shareholders and other stakeholders.

Founder Eli Papouchado and PPHE president Boris Ivesha, who collectively own 44% of the voting rights of PPHE, have approved the strategic review.

The firm has appointed Rothschild & Co as its financial adviser for the strategic review and formal sale process.

PPHE Hotel Group is an international hospitality real estate company with a £2.2b portfolio of primarily freehold and long leasehold assets in Europe.

The group’s UK portfolio includes the likes of Art’otel London Battersea, Art’otel London Hoxton, Park Plaza Westminster Bridge and Park Plaza Riverbank.

PPHE has also held the exclusive master franchise rights for Radisson’s Park Plaza brand in Europe, Africa and the Middle East since 2002, as well as the rights to its Radisson Collection, Radisson Blu, and Radisson RED brands since 2022.