Dalata Hotel Group joins the ISE raising €265m
Dalata Hotel Group (Dalata), the largest hotel operator in Ireland, has today joined the ISE raising €265m.
Dalata operates 40 hotels, totaling over 6,100 rooms, with all bar one – Cardiff – located in Ireland. The Group's portfolio includes the 13 Maldron Hotels as well as other well-known hotels across the country.
The net €265m funds raised as part of its flotation will be used by the company to acquire a portfolio of approximately 16-25 hotels throughout Ireland and to pay down existing debt.
Dalata’s central management group includes a number of former senior executives of the Jurys Doyle Hotel Group plc led by CEO, Pat McCann; Dermot Crowley, Deputy Chief Executive; Finance & Development and Stephen McNally, Deputy Chief Executive.
Its market capitalisation on coming to the Enterprise Securities Market (“ESM”) was €305m. Dalata’s ESM ticker symbol for trading is DHG.
Deirdre Somers, Chief Executive of the ISE, added, “Tourism is a key sector for the future growth of the Irish economy and we are delighted that Dalata has utilised the Irish Stock Exchange to source the international capital it needs for expansion. Dalata’s successful IPO demonstrates that public markets are open to Irish companies with attractive investment opportunities.”Pat McCann, CEO of Dalata, speaking at the company’s launch at the ISE, said “As the largest hotel operator in Ireland, we are delighted to be in a position to join the Irish Stock Exchange today. Our flotation on the ESM has enabled us to attract international investors and also provides us with a platform for future fund-raisings. A market listing raises our profile in Ireland and internationally which is also important for our business.”
Davy is acting as ESM advisor and corporate broker to Dalata.
Notes to Editor
Dalata operates 40 hotels, totaling over 6,100 rooms, with all bar one – Cardiff – located in Ireland. 12 of those hotels are operated under lease agreements, 1 hotel under a long term operating agreement and 27 hotels under short term management agreements.
Dalata’s strategy is to acquire 3 and 4 star hotels and leverage its core hotel operational competencies and significant economies of scale to maximise the financial performance of its growing portfolio. Dalata will also look for hotel development opportunities in the undersupplied Dublin market.
In addition, the Group will continue to provide hotel management solutions to third party hotels under both lease and management agreements. Dalata has taken over operation of 8 additional hotels since the start of 2014.