Former Jurys Doyle chief executive Pat McCann is returning to the hotel industry to run the Quality and Comfort Inn chains, which were bought yesterday by TVC Holdings for €46.5 million.
Mr McCann, who left Jurys after the ruling Doyle family took the company private, will take a 12.5% stake in the new company that will operate the hotels.
TVC Holdings, the venture capital firm that listed on the stock market last month, is buying the 11 Quality Hotel and Comfort Inns from Choice Hotels in the deal.
TVC is putting in €10m of equity for a 29% stake. The rest of the €31.5m in equity is provided by private clients of Davy Stockbrokers. Debt finance is being provided by Ulster Bank.
Mr McCann said yesterday the move was a rare opportunity to acquire a hotel business with plenty of potential to expand. He said he hopes to double the number of properties in the chain over the next five to seven years.
He said there were no comparable operators of quality three-star hotels in Britain and he would also like to expand further in Ireland. The hotels cater mainly for leisure travellers but Mr McCann said he hoped he would be targeting the corporate market as well.
The 11 hotels, which have a combined 1,400 rooms, will generate sales next year of about €40m and produce earnings of €4.6m.
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