EYEING a bigger slice of Asia’s burgeoning budget accommodation segment (TTG Asia e-Daily, October 14, 2011), Red Planet Hotels has acquired a 16.05-per cent stake in Tune Hotels to become the hotel chain’s third-largest investor.
Tim Hansing, CEO of Red Planet Hotels, which is a major franchisee of Tune Hotels in South-east Asia, said: “This significant investment and commitment to the Tune Hotels brand is indicative of Red Planet Hotels’ well-balanced long-term development programme and provides tremendous value growth to our existing shareholders.
“As we move towards becoming a major owner and operator of Tune Hotels properties, this investment and endorsement of Tune’s board and management allows Red Planet Hotels to participate and contribute constructively and meaningfully for the benefit of both companies.”
The Bangkok-based Red Planet, which manages US$180 million worth of hotels and 3,191 rooms in operation or under construction in Asia, will operate 10 hotels and 1,623 rooms across Thailand, the Philippines and Indonesia by end-2012.
Earlier this month, Red Planet debuted its first Tune Hotel in Jakarta and its fourth Philippine property opened in Makati (TTG Asia e-Daily, July 9, 2012). Later this year, it will open a 130-room Tune hotel in Bangkok’s Asoke district in September, a 143-room hotel in Pekanbaru, Sumatra and a 150-room hotel in Patong, Phuket in December.
Established in 2007, Tune Hotels currently has 24 properties worldwide with 3,859 rooms, while plans are afoot to add 38 more hotels with 10,106 rooms, including its first hotels in India, Scotland, Australia and Saudi Arabia.