PPHE Hotel Group is extending its strategic partnership with Radisson Hotel Group (RHG). PPHE has been the leading force behind the expansion of the Park Plaza brand in Europe, operating since 2002 under an exclusive and perpetual territorial license of Radisson Hotel Group’s Park Plaza brand in Europe, Middle East and Africa. The latest announcement builds on this successful 20-year partnership with Radisson Hotel Group, which is founded on trust, collaboration and joint value creation.
Through the extension of the partnership and in addition to the Park Plaza TLA (which remains in its current form), the parties entered into long term agreements through which:
- PPHE will have the ability to access and leverage the full suite of Radisson Hotel Group’s brands, including Radisson Collection, Radisson Blu and Radisson RED, to support the growth of its own property portfolio beyond the upper upscale and lifestyle segments on favourable commercial terms, subject to development targets. The first hotel to be launched under the extended partnership will be the Grand Hotel Brioni Pula, which will open in May 2022 as a Radisson Collection Hotel.
- Radisson Hotel Group will have access to the art’otel and Park Plaza brands in certain regions, primarily outside of PPHE’s core markets, and subject to development targets. Through this arrangement, PPHE will be entitled to a fee based income for the use of its brands. PPHE retains full ownership over the art’otel brand and its special rights under the Park Plaza TLA.
Boris Ivesha, President and Chief Executive Officer PPHE Hotel Group, said: “I am excited to announce this material extension of the Group’s partnership and deepened relationship with Radisson Hotel Group. PPHE, through its exclusive and perpetual Park Plaza master franchisee licence, has worked with Radisson Hotel Group for two decades in a partnership that has created significant value for the Group’s stakeholders. Through the implementation of the enhanced agreement announced today, we build on that long-standing, trusted relationship by leveraging both business’s property portfolios and market-leading hotel brands to unlock a range of exciting opportunities for long-term growth. We look forward to working closely with Radisson Hotel Group to achieve the significant potential of this fantastic partnership, as we continue to scale our hospitality management platform.”
Federico J. González, CEO of Radisson Hotel Group, added: “We are thrilled to expand our relationship with PPHE and further support the growth and evolution of art’otel internationally. Art blends culture with lifestyle and this bold brand will provide unique opportunities to our guests and owners in this growing upper upscale segment. We are equally excited to grow Radisson Hotel Group’s brands across Europe with our trusted partner with the launch of the first Radisson Collection in Croatia of the renowned Hotel Brioni.”