Paul Singer's Elliott Management Bets on Hotels
31.10.2023 - 17:01
/ skift.com
/ Sean Oneill
The Dean Hotel Group, which runs a handful of high-end properties in Ireland, has sold a majority stake to an investment vehicle backed by Elliott Management.
The companies didn’t disclose the deal’s terms or value. The deal valued Dean Hotel Group at about $372 million (€350 million), reported.
In a related move, the group acquired The Clarence, a Dublin luxury hotel, from members of the rock band U2.
The majority acquisition was done by an investment vehicle led by Lifestyle Hospitality Capital (LHC) and backed by funds advised by Elliott Investment Management — part of an investment group run by legendary activist investor Paul Singer.
Elliott’s move comes as upturned financial markets are giving an edge to investment firms able to negotiate financing at better terms than smaller players.
Musical artists Bono and The Edge sold The Clarence Hotel on October 19 in an unspecified multi-million dollar deal to The Dean Hotel Group.
Dean Hotel Group received a $46 million (€43 million) loan to acquire the freehold, add 43 guestrooms, and refurbish the other 58 guestrooms. It has managed the property since 2019.
Having bought The Clarence, the group — under the Press Up management brand — now runs eight Irish properties, including The Dean, The Mayson, and The Devlin.
Its pipeline includes two hotels slated to open in Ireland, plus one in Belfast and one in Birmingham.