HNA-NH JV finally gets off the ground

SPANISH company NH Hotel Group has finally confirmed the establishment of a joint venture company with China’s HNA travel group, which will initially cover six hotels in China.

Beijing-based HNA-NH Management Joint Venture Company currently manages a total inventory of over 1,300 beds in the capital, while new properties in Haikou, Sanya and Tianjin are due to begin operations in 2015.

HNA, which holds a majority 51 per cent stake in the JV company, will own all properties initially, but the accord will also cover third-party clients.

The JV company aims to move into the mid- to upper-midscale, predominantly business hotel sector throughout Greater China.

Meanwhile, NH said that one of its main goals will be to establish a prototype international hotel model for China that will operate under the Spanish group’s name. It will also set up a dedicated, independent team to develop the Chinese market.

A major partner in NH, HNA holds just under 30 per cent of the Spanish company’s shares.

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