Jurys Inn hotel chain to get £160m cash injection
THE struggling Jurys Inn hotel chain will get a massive cash injection and have nearly two-thirds of its borrowings wiped out under a debt-for-equity swap by its main lender this week.
The deal will secure the future of the Jurys Inn chain which operates seven hotels here as well as hotels in the UK and Prague. Some of the cash will be used to upgrade hotels on both sides of the Irish Sea.
The 32-strong chain will be bailed out by the Royal Bank of Scotland which has pledged to inject £160m (€187m) into the business in return for a cut in its debts, the 'Sunday Times' said .
The group has been struggling with a £600m debt pile since it was taken over by financier Derek Quinlan. Oman's sovereign wealth fund, which is a half shareholder of the company, is to remain as an investor, the report said.
A spokesman was not immediately available for comment.
Hedge fund Mount Kellett and US hotel group Westmount have also taken part in the new round of investment in the three-star hotel group.