Thursday 20 September 2018

INua hotels now valued at €90m as earnings hit €7.1m

The hotel group acquired the Muckross Park Hotel for more than €6m in 2015
The hotel group acquired the Muckross Park Hotel for more than €6m in 2015
John Mulligan

John Mulligan

Hotel group iNua Hospitality, which owns venues including the Muckross Park Hotel, generated record earnings of €7.1m last year.

The group, part of the iNua Partnership that also owns the Ditchley healthcare investment vehicle, owns six hotels around Ireland and is planning to buy another property.

The earnings before interest, tax, depreciation and amortisation (ebitda) notched up in 2017 come as iNua Hospitality targets a 34pc increase in ebitda over the next five years. That would see it generate ebitda of €9.5m in 2022.

It has also consolidated all its hotel properties into a single hotel structure.

INua Hospitality's hotels are now valued at €90m, while it invested €10m in improvements over the past four years, when it started buying properties.

The Muckross Park Hotel in Killarney, Co Kerry was acquired in 2015 by iNua for more than €6m. The hotel had previously been owned by businessman Bill Cullen and his partner, Jackie Lavin.

INua also owns Raddisson Blu hotels in Athlone, Cork and Limerick. When it concludes the acquisition of its seventh hotel, the group will employ 750 people.

The hotel owner's backers include Earlsfort Capital Partners and Blackbee Investments. Earlsfort was established by former Anglo Irish Bank executives Fergal Feeney and Paul Brophy. Cork-based investment firm Blackbee is chaired by former Ulster Bank chief economist Pat McArdle.

INua Hospitality founder and managing director Noel Creedon said that the venture remains focused on making strategic investments that return value to investors.

"Market conditions are positive, and we continue to see strong potential in the regional hotel market, our primary concentration," he said.

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