InterContinental Hotels buys majority stake in Regent Hotels

IHG, which operates the Crowne Plaza and Holiday Inn brands as well, said it would have the right to buy the remaining stake at Regent Hotels and Resorts in a phased manner from 2026. (Reuters)
Updated 14 March 2018
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InterContinental Hotels buys majority stake in Regent Hotels

BENGALURU: InterContinental Hotels Group (IHG) said it agreed to buy a 51 percent stake in luxury brand Regent Hotels and Resorts for $39 million in cash as part of its plan to go more upmarket to tap customers willing to pay top prices.
IHG, which operates the Crowne Plaza and Holiday Inn brands as well, said it would have the right to buy the remaining stake in a phased manner from 2026.
IHG has missed out on customers willing to pay more for greater exclusivity and intends to grow the Regent brand to over 40 hotels from six in global gateway city and resort locations over the long term.
A top IHG executive said in February the group was looking to buy one or two small luxury brands that do not have many physical hotels, as it did when it bought Kimpton Hotels for $430 million in 2014.
These brands would be more upscale than InterContinental hotels, allowing IHG to drive more revenue from the $60 billion global luxury hotels sector.
IHG also said following an extensive refurbishment pegged to start in early 2020, InterContinental Hong Kong would become a Regent Hotel in early 2021.
Regent was founded in 1970 as a luxury hotel brand by hotel industry veteran Robert Burns.


US Energy Secretary discussed Iran sanctions with Iraqi officials

Updated 11 December 2018
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US Energy Secretary discussed Iran sanctions with Iraqi officials

  • Perry spoke at a Baghdad hotel where he was attending a US chamber of commerce event alongside Iraqi Oil Minister Thamer Ghadhban
  • The United States has restored sanctions targeting Iran’s oil industry as well as its banking and transport industry

BAGHDAD: US Energy Secretary Rick Perry said on Tuesday he had discussed his country’s sanctions against Iran with Iraqi energy officials and signalled an intention to step up US private sector investment in Iraq.
Perry spoke at a Baghdad hotel where he was attending a US chamber of commerce event alongside Iraqi Oil Minister Thamer Ghadhban.
The United States has restored sanctions targeting Iran’s oil industry as well as its banking and transport industry.
Baghdad, an ally of both Washington and Tehran, is seeking US approval to allow it to import Iranian gas for its power stations.
Iraqi officials say they need more time to find an alternative source than a 45-day waiver granted to it by the United States.
“Sanctions were mentioned in meetings this morning,” Perry said without providing details.
He added that his attendance was sending a strong message of US commitment to Iraq’s economy and energy sector and that he recognized the challenges faced by Iraq’s government when it comes to rebuilding oil infrastructure destroyed during the war against Daesh militants.
“This is a different administration that will move with speed to develop an energy sector that best serves the citizens of Iraq,” Perry said of Prime Minister Adel Abdul Mahdi’s new government.