According to Hotel and Restaurant, City Lodge Hotels has announced that it has taken full ownership of its two joint ventures in Kenya.
Further to the announcement released in February, shareholders have been advised that the agreement for the acquisition of the remaining 50% of Fairview Hotel, giving it full ownership of the Fairview Hotel and the Country Lodge, has become unconditional. Fairview will now be accounted for as a 100%-owned subsidiary of the City Lodge Hotel Group.
The hotel group announced it had reached agreement with Nairobi-based Fairview Hotel Ltd to acquire the remaining 50% of a joint venture between the two companies in February 2014, giving it full ownership.
The deal started with City Lodge’s first expansion outside of South Africa when it acquired 50% of the two hotels in May 2012 and established a joint venture with the hotels’ previous owners to investigate other expansion opportunities in Kenya and elsewhere in East Africa.
In addition to its footprint in Kenya, City Lodge also has a Town Lodge in Gaborone, Botswana, and is examining expansion opportunities in East Africa, West Africa and some Southern African Development Community countries. The City Lodge Hotel Group operates 55 hotels offering 6,755 rooms across four brands in South Africa, Kenya and Botswana.