German hospitality brand adds a touch of ultra-luxury to MENA with four new hotels

German hospitality brand adds a touch of ultra-luxury to MENA with four new hotels
Deutsche Hospitality operates 23 properties in the Middle East and North Africa region. (Supplied)
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Updated 09 May 2022

German hospitality brand adds a touch of ultra-luxury to MENA with four new hotels

German hospitality brand adds a touch of ultra-luxury to MENA with four new hotels

DUBAI: German hotel giant Deutsche Hospitality, which operates Steigenberger Hotels under its umbrella brand, plans to expand its offering in the Middle East this year with the addition of four new hotels under different brands.

“We plan to double the number of rooms we manage in the region by the end of the year,” said Siegfried Nierhaus, vice president of Deutsche Hospitality Middle East. “The demand for luxury, even during and post COVID-19, has always been very strong, especially in the Middle East.”

Early this year, the company signed a memorandum of understanding with the Tourism Development Fund of Saudi Arabia to launch and develop its new ultra-luxury brand in the region: Steigenberger Porsche Design Hotels.

“We are actively working with our partners to select the best location and develop the hotel project,” Nierhaus told Arab News.

“Consumers are increasingly choosing experiences over things, and Steigenberger Porsche Design Hotels is the only brand that combines the distinctive Porsche Design lifestyle with a Steigenberger hotel’s hospitality and service quality.”

First order of business

Offering a minimum of 150 rooms, suites, and penthouses, the hotels will include a restaurant and lounge concept, exclusive meet-and-greet areas, and state-of-the-art health and beauty facilities, including a gym and wellness area.

Guests will also benefit from an individualized journey at every touchpoint, driven by the hotel’s focus on hyper-personalization, innovation, and a functional approach.

“With international and domestic travel back on the rise, we are eager to present more unique experiences through our eight brands in more quality locations across the UAE, Oman, Qatar, Saudi Arabia and beyond,” he said. “The region has bounced back extraordinarily, and we look forward to welcoming more guests into our various properties.”

His optimism is grounded in data. According to a Hotel Tech Report released this year, the travel and hospitality industry understandably turned upside down during the pandemic; global revenue for travel and tourism fell by an estimated 34.7 percent to about $447.4 billion in 2020.

Now compare this with the original 2020 forecast was $712 billion in revenue. However, the figures are quickly recovering, particularly in the luxury hospitality sector.

Deutsche Hospitality operates 23 properties in the Middle East and North Africa region, with expansion plans mainly in the luxury hospitality category.

According to Nierhaus, Middle Eastern hotels get most of their traffic from the UAE, Saudi Arabia, India, Germany and Eastern Europe.

“Once China opens again, we believe that we will welcome back many Chinese customers,” he added. “The Middle East is a focus for our company, and we have, in Dubai, a full-fledged office with regional experts to support the development.”

By this year, the brand will open doors to two new properties: Al Hamra Residence and Al Hamra Village Hotel in Ras Al Khaimah, and IntercityHotel Muscat, Oman, with plans for two more. In addition, Saudi Arabia is on the radar as a fresh territory.

“The Kingdom of Saudi Arabia is one of the focus development areas for our group with many opportunities. The 2030 Vision is ambitious, and we would like to play our part in it with our hospitality expertise and global reach,” he said.


Saudi Advanced Petrochemical’s profits down 37% as raw material costs bite

Saudi Advanced Petrochemical’s profits down 37% as raw material costs bite
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Saudi Advanced Petrochemical’s profits down 37% as raw material costs bite

Saudi Advanced Petrochemical’s profits down 37% as raw material costs bite

RIYADH: Saudi Arabia’s Advanced Petrochemical Co. saw its profit decline by 37 percent during the first half of 2022, hit by higher raw material prices.

The Jubail-based company’s profit dropped to SR274 million ($73 million), compared to SR436 million for the same period a year earlier, according to a bourse filing.

The decline was propelled by a rise in propane and outsourced propylene prices by 51 and 20 percent, respectively, and a decrease in profit share from its South Korean unit SK Advanced Co. by SR75 million.

This was coupled with an increase of 174 percent in offshore logistics costs, despite a 24-percent higher sales volume.

Sales of the Saudi-listed petrochemical producer surged to SR1.68 billion during the six-month period.

In a separate announcement, Advanced Petrochemical said it will distribute a cash dividend of SR142.53 million at SR0.55 per share for the second quarter of the year on Sept. 18. 

 


TASI falls to its lowest level in 2022 as fear grips the market: Opening bell

TASI falls to its lowest level in 2022 as fear grips the market: Opening bell
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TASI falls to its lowest level in 2022 as fear grips the market: Opening bell

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RIYADH: Saudi Arabia's main index, TASI, fell 0.77 percent to 11,257, its lowest level at the opening bell in 2022 amid rising investor concerns of a possible global recession.


US food company Tyson to buy Tanmiah subsidiaries’ stakes for $70m

US food company Tyson to buy Tanmiah subsidiaries’ stakes for $70m
Updated 27 min 28 sec ago

US food company Tyson to buy Tanmiah subsidiaries’ stakes for $70m

US food company Tyson to buy Tanmiah subsidiaries’ stakes for $70m

RIYADH: Tyson International Holding Co., a wholly-owned subsidiary of New York-listed Tyson Foods, has reached an agreement to acquire equity stakes in two of Tanmiah Food Co.’s subsidiaries for SR262.6 million ($70 million).

Tyson will acquire 15 percent of shares in Agricultural Development Co. and 60 percent of shares in Supreme Foods Processing Co., according to a bourse filing.

In partnership with Tyson, Tanmiah will double its production capacity and develop new halal products for the international market, expanding its product portfolio and enhancing its supply chain and procurement processes.

The agreement with Tyson will also strengthen and boost the Tanmiah brand in the Gulf Cooperation Council and other regions.

With SR20 million in registered capital, Agricultural Development Co. rears and produces broilers, feed mills, and operates hatcheries. It also raises fresh chicken.

Supreme Food Processing Co. produces pre-prepared chicken and beef products. It has a registered capital of SR8.6 million.


Advanced Polyolefins secures $1.6bn loans for 3 plants at Jubail Industrial City

Advanced Polyolefins secures $1.6bn loans for 3 plants at Jubail Industrial City
Updated 06 July 2022

Advanced Polyolefins secures $1.6bn loans for 3 plants at Jubail Industrial City

Advanced Polyolefins secures $1.6bn loans for 3 plants at Jubail Industrial City

RIYADH: Advanced Polyolefins Industry Co., a unit of Saudi-listed Advanced Petrochemical, has secured loans worth SR6.1 billion ($1.6 billion) to finance the construction of three plants at Jubail Industrial City II in Saudi Arabia.

The Shariah-compliant facility deals are repayable in 22 installments until November 2035, while SR956 million of the amount is payable by May 2026, a bourse filing revealed.

The company said the proceeds will be used to set up three plants for propane dehydrogenation, polypropylene, and isopropanol, with a capacity to produce 843,000, 800,000, and 70,000 tons per annum, respectively.

Alinma Bank, Al Rajhi Banking and Investment Corp., Arab National Bank, and the Saudi National Bank were among the financing entities for the facilities. 


Saudi-listed shipping firm Bahri closes $1.04bn sukuk issuance

Saudi-listed shipping firm Bahri closes $1.04bn sukuk issuance
Updated 06 July 2022

Saudi-listed shipping firm Bahri closes $1.04bn sukuk issuance

Saudi-listed shipping firm Bahri closes $1.04bn sukuk issuance

RIYADH: National Shipping Co. of Saudi Arabia, better known as Bahri, has completed the issuance of SR3.9 billion ($1.04 billion) sukuk, denominated in Saudi Riyals and maturing in seven years.

The offering, led by Al Rajhi Capital, HSBC Saudi Arabia, and SNB Capital, started by mid-June, and the settlement was done on July 5, the firm said in a bourse filing.

The Saudi-listed company earlier said it will use proceeds to refinance the existing sukuk which will mature this month.

Bahri is a joint venture between Saudi Aramco and the Public Investment Fund, operating a fleet of 89 tankers and container ships that transport oil, petrochemicals, and other types of cargo.