International Hotel Investments plc completed the acquisition of all assets and operations of Island Hotels Group Holdings p.l.c.
August 13, 2015 at 12:00 am EDT
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International Hotel Investments plc (MTSE:IHI) (IHI) made an offer to acquire and merge all assets and operations of Island Hotels Group Holdings p.l.c (MTSE:IHG) (IHG) for €41.3 million on January 15, 2015. The consideration involves payment in cash and shares whereby €1 payable in cash will be split into two tranches, the first tranche of €0.55 payable on completion and the second tranche payable 12 months later. In addition to this cash component IHGH shareholders will also receive 0.246 IHI shares for each IHG share held through the issue of nine million shares by IHI. A shareholder may also elect to receive consideration in the form of a cash payment of €1.137 per share, payable in two tranches namely the first tranche of €0.687 payable on settlement date and the second tranche of €0.45 per Sshare payable on the anniversary of the settlement date.
As part of the conditional agreement the management of IHGH will remain unchanged and will continue to operate all IHGH businesses as normal. The agreement also anticipates that the current jobs within the respective companies will be safeguarded. The agreement is subject to the satisfaction of various conditions over the coming months, including but not limited to, compliance with regulatory requirements, a minimum acceptance threshold of 90%, obtaining all necessary third party consents and approvals from shareholders and Board of Island Hotels Group Holdings and conducting a satisfactory due diligence on IHGH. The Directors of Island Hotels Group Holdings recommended the shareholders to approve the deal. On February 20, 2015 the general meeting of shareholders of Island Hotels Group Holdings approved the transaction. The acceptance period of the offer is from July 2, 2015, to July 31, 2015. Camilleri Preziosi acted as legal advisor to International Hotel Investments.
International Hotel Investments plc (MTSE:IHI) (IHI) completed the acquisition of all assets and operations of Island Hotels Group Holdings p.l.c (MTSE:IHG) (IHG) on August 13, 2015. International Hotel Investments acquired 99.68% stake in Island Hotels Group Holdings during the acceptance period of the voluntary public bid. The final payout to the remaining shareholders of Island Hotels Group Holdings that needed to be squeezed out was being affected on September 4, 2015.
International Hotel Investments p.l.c. is an investment company, which is engaged in the business of ownership, development and operation of hotels, leisure facilities, and other activities related to the tourism industry and commercial centers. Its segments include European countries, Eastern European countries and North Africa. Its portfolio includes Owned Hotels, Managed Hotels, Commercial Properties, New Projects, Catering, Corinthia Developments International and Project Management. The Company operates a catering operation, which provides event catering in several venues in Malta, as well as contract catering, including international airlines flying from Malta. The Company also provides architectural engineering, management and technical construction services. It has developed commercial real estate in conjunction with its hotels. It also manages a number of properties in various locations, including Malta, Khartoum, Budapest, Bucharest, Prague, and Tunisia.
INTERNATIONAL HOTEL INVESTMENTS P.L.C. 
