Dalata Hotel Group, which operates the Clayton and Maldron brands, has agreed a €1.4 billion takeover by a Scandinavian consortium.
Dublin-based Dalata last month rejected an offer of €6.05 per share from Swedish hotel group Pandox and Norwegian property company Eiendomsspar, but Dalata’s board has now accepted an improved offer of €6.45 per share from the consortium.
In a statement, Dalata said the latest offer from the consortium was “highly attractive” and would deliver “compelling value for shareholders”. The deal will have to approved by the company’s shareholders.
Dalata has a portfolio of 55 hotels, which are mostly in the UK and Ireland - the Clayton and Maldron brands will be maintained following the acquisition.
The deal comes after Dalata announced in March that it would hold a strategic review to explore its future and potential sale. The company’s share price was €4.76 at that time, although they had risen to €6.54 per share when trading closed on Monday (14 July) before the acquisition was announced.
Dalata added that it would retain its management team, staff and headquarters following the takeover, which is expected to be completed in the fourth quarter of 2025.
Dermot Crowley, CEO of Dalata, said: “This represents an exciting new chapter for Dalata in which we will become part of a larger hotel platform and will further accelerate our growth. Our focus remains firmly on our people and our customers.
“I’m proud to continue to lead our team in close partnership with our new owners. Together, we will unlock new opportunities for the Clayton and Maldron brands as we continue to expand as a leading international hotel company.”
Pandox owns, develops and leases properties to hotel operators under long-term leases and its portfolio includes 163 hotels, with a total of 36,000 rooms across 11 countries in Northern Europe. Eiendomsspar is one of the largest real estate owners in Norway and also a major shareholder in Pandox with control of around 36 per cent of its shares.
Details of a “framework agreement” between the Pandox-Eiendomsspar consortium and Scandic Hotels Group have also been announced. This would see Scandic acquire Dalata’s hotel operating business, including the Maldron and Clayton brands, for €500 million, while the consortium will retain Dalata’s real estate business.
Liia Nõu, CEO of Pandox, said: “Dalata’s portfolio consists of well-established and highly profitable four-star hotels in strong locations, which will further expand Pandox’s footprint in several large, dynamic and growing hotel markets in Northern Europe.
“The hotel properties are of high technical standard and will contribute positively to the overall quality of Pandox’s hotel property portfolio. Through this cash flow and value-accretive transaction we will also deepen our already strong partnership with Scandic Hotels Group, which is based on operational and commercial excellence.”