TEDA Travel Group, announced today it has signed a Definitive
Agreement to acquire a 60% share in Landmark Hotel International Group Ltd. The company expects the deal to be closed by October 29,
2004.TEDA Travel Group CEO, Mr. Godfrey Hui said, ‘‘Our goal as a Group is to
grow through acquisition. The Agreement signed with Landmark is the second of
several deals we’ll be structuring over the next 6 months. We hope to add as
many as 50 hotels over the next 24 months.’’ Upon completion of the Landmark
acquisition, the number of hotels managed by TEDA Travel Group will increase
from 3 to 14.
The Agreement calls for TEDA Travel Group to acquire a 60% equity interest
in Landmark where it holds all its current management contracts. Landmark
also guarantees profitability of the venture for the years 2005-2007. Failing
this, the consideration payable to the acquiree can fall to zero.
Landmark executives, under the leadership of Mr. Philip Chi Ming Cheung,
have successfully managed more than 20 similar hotel projects since the year
2000, and have established a well-known, well-managed high-end brand in China.
Landmark has concentrated its primary efforts on both pre-operating planning,
and efficient management.
‘‘We’re going to run the gamut on the range and types of hotels we own,
and the Landmark properties will really add some luster to our already well-
known brand. Add the Landmark brand, to the prestigious TEDA brand, and you
can see why this acquisition is of particular importance to the Group,’‘
concluded Mr. Hui.