IHG Announces Acquisition of Majority Stake in Regent Hotels & Resorts

INTERCONTINENTAL HOTELS Group (IHG) has recently announced that it has agreed to acquire a 51 percent stake in Regent Hotels and Resorts for USD 39 mn in cash. IHG will have the right to acquire the remaining 49 percent interest in a phased manner from 2026.  

IHG will bring Regent into its brand portfolio at the top end of the luxury segment and will accelerate its growth globally, supported by IHG’s powerful enterprise. IHG’s intention is to grow the brand from six hotels today to over 40 hotels in key global gateway city and resort locations over the long term. 

Keith Barr, CEO, IHG, said, “IHG is already one of the world leaders in luxury with our InterContinental Hotels and Resorts brand, but we see significant potential to further develop our global footprint in the fast-growing luxury segment. As one of the pioneers in defining luxury hotels both in Asia and around the world, Regent is an excellent addition to IHG’s portfolio of brands. We see a real opportunity to unlock Regent’s enormous potential and accelerate its growth globally. In addition, by creating a dedicated luxury division, we will be bringing together some of the most experienced and respected people in the industry who will help drive our luxury offer, ensuring that our existing luxury brands continue to evolve and allowing us to bring in new brands such as Regent to enhance our brand portfolio.”

The acquisition of Regent is part of one of IHG’s new strategic initiatives focused on continuing to expand its footprint in the fast-growing USD 60 bn luxury segment.

Steven Pan, Executive Chairman, Formosa International Hotels Corporation said, “Regent as a brand has an unrivalled heritage at the very top-end of the luxury segment and the flagship Regent Hong Kong was consistently voted the world's best hotel in the 1980's and 1990's. Returning the property to its original roots as a Regent hotel is symbolic of our ambition to return the brand to its former glory and will go down in history as one of the greatest brand comebacks in the hotel industry. IHG shares our vision for the brand and has the ability to make our ambition a reality. IHG has a deep understanding of how to protect what makes the Regent brand so unique and special, whilst at the same time ensuring that the brand can grow and thrive on a global scale.” 

IHG also said that following an extensive refurbishment due to commence in early 2020, InterContinental Hong Kong will become a Regent Hotel in early 2021. 

“The InterContinental Hong Kong is internationally acclaimed as one of the world’s best hotels and is prized for its unrivalled views of the Victoria Harbour and Hong Kong Island. Originally built as The Regent Hong Kong in 1980, the hotel was rebranded to InterContinental Hong Kong in June 2001. The hotel is primed to undergo a spectacular transformation that will position it as one of the top hotels not only in Asia, but also as one of the world’s most iconic hotels. We are absolutely delighted that after the refurbishment, we will be opening our doors once again as The Regent Hong Kong, a flagship property for the Regent brand, returning the property back to its original roots,” said Goodwin Gaw, Chairman, Gaw Capital Partnership.