Hotels group completes second West Midlands acquisition this month
An ambitious hotels group in Warwickshire has completed its second major acquisition in the West Midlands in as many weeks.
Leamington Spa-headquartered Talash Hotels Group has further expanded its portfolio with acquisition of the Mercure Telford Madeley Court Hotel, in a deal backed by Barclays.
The purchase just a fortnight after the group completed a deal to acquire the Mercure Goldthorn Hotel, Wolverhampton in a deal backed by Allied Irish Bank (GB).
The purchase of Madeley Court from Focus Management Hotels for an undisclosed sum is the second Talash Hotels deal to be backed by Barclays and the sixth property to be added to the group’s portfolio in the last 13 months. This latest acquisition brings the portfolio to 13 properties in total.
This 16th century manor house, situated just two miles from Ironbridge Gorge, has 49 bedrooms, and three conference rooms for business and social events.
Richard Fray, relationship director, Barclays, said: “By really understanding the business and the industry sector, Barclays has been able to deliver a funding package to support the Talash Groups ambitious growth strategy. This is the second acquisition Barclays has supported within the last 12 months and demonstrates the availability of large scale funding packages for the right propositions.”
He said the bank’s research supported the view that hospitality businesses in the UK are booming. Three quarters (75%) of UK adults have been on, or are planning a UK staycation this year, up from 70% in 2016. Significantly, the average turnover of SMEs in the accommodation and food services sector rose by 8.3% in the first half of 2017 compared to the same period last year.
“In combination with the weak pound attracting growing numbers of inbound tourists, which is having a healthy impact on SME businesses in the accommodation and food services sectors, the future looks bright,” added Mr Fray.
Talah is owned by brothers Sanjay and Ravi Kathuria.
Sanjay Kathuria, company director, said: “We clearly believe there is opportunity for growth in our recent acquisition. We are very much a hands on management team and look forward to enhancing and promoting this beautiful historic building and the facilities it has to offer. While the ownership has changed the Mercure brand and highest standards of service will remain.
“We’re well on track to build a group of 20 hotels by 2020 and have a built a truly symbiotic relationship with Barclays, working in partnership to deliver our strategic goals. We look forward to working together on future projects.”
