Dalata Hotel Group, Ireland’s largest hotel operator, saw its shares climb nearly 11% in London trading after receiving a €1.3bn non-binding takeover proposal from a Scandinavian consortium. The offer, led by Norway’s Eiendomsspar and Sweden’s Pandox, values Dalata at €6.05 per share, a 27.1% premium to its pre-announcement price.
The joint bid targets Dalata’s 55-strong hotel portfolio, operating under the Maldron and Clayton brands, spread across prime locations in Ireland and the UK. The consortium is also reported to be in discussions with a leading European hotel operator to manage the assets post-acquisition.
“We believe the offer would deliver tangible and certain value for shareholders,” the consortium said, emphasising long-term value creation and a commitment to enhancing Dalata’s growth trajectory.
Dalata has been expanding across Europe with upcoming openings in Berlin and Madrid. The potential acquisition could accelerate these plans by injecting both capital and strategic hospitality expertise, two elements critical in navigating the increasingly competitive European market.
For investors and developers, the deal reflects strong conviction in the recovery and evolution of the hospitality sector. The involvement of institutional real estate investors like Eiendomsspar and Pandox also points to rising interest in stable, income-producing assets in urban centres with high tourism and business travel potential.
Dalata’s board has confirmed receipt of the proposal and is currently reviewing its merits. Should the acquisition proceed, it could significantly reshape the competitive dynamics in Europe’s mid-to-upper scale hotel segment.
Companies mentioned:
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Dalata Hotel Group – Ireland’s largest hotel operator
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Eiendomsspar – Norwegian property investment company
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Pandox – Swedish hotel property company
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Maldron Hotels – Dalata’s core hotel brand
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Clayton Hotels – Dalata’s upscale hotel brand
IMAGE Source: X - Dalata Group (CEO, Dermot Crowley)
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