The Board of Dalata Hotel Group plc announces that it is undertaking a strategic review to explore options available to optimise capital opportunities for the Group and to enhance value for shareholders, including but not limited to a potential sale of the Group
Dalata has appointed Rothschild & Co as financial adviser in connection with the Strategic Review.
Dalata’s portfolio includes 30 owned hotels which are valued at €1.7 billion including assets under construction, 73% of which relates to hotels in Dublin and London. It also operates 22 leased hotels, the majority of which are on long term institutional lease agreements with a weighted average lease length of 29 years and rent cover of 1.7x. Dalata also operates three managed hotels.
As announced today, Dalata reported record revenue for 2024 of €652.2 million, Adjusted EBITDA of €234.5 million and Adjusted EBITDA (after rent) of €173.2 million. Further details of Dalata’s portfolio, brands, team, financial performance and asset backing are set out below.
John Hennessy, Dalata Chairman said:
“The Board is excited about the 2030 Vision that was outlined by our senior management team at our Capital Markets Day in October 2024. However, we are unanimous in the view that the key to achieving that vision is the availability of capital; and that the share price does not reflect the underlying value of the company. We believe that now is the right time to undertake a rigorous and formal strategic review, which will consider options to increase access to capital and also enhance shareholder value.”
Dermot Crowley, Dalata Chief Executive Officer said:
“Our 2030 Vision strategy sets an exciting goal to have 21,000 rooms either operational or under construction by 2030. We have an excellent management platform in place to deliver this strategy but access to capital is essential to achieve our vision. A thorough strategic review will enable us to assess available options to increase our access to capital and enhance shareholder value. During the process we will remain focused on the underlying business – continuing to take care of our people and continuing to meet the expectations of our customers. We have exciting initiatives in place to enhance further our revenues and deliver further productivity – our teams will remain focused on delivering on the objectives that we have set ourselves for 2025.”
