Michels & Taylor has announced the completion of a strategic partnership agreement with Freo Group, the European real estate investment and asset management business.
The news was revealed as the International Hotel Investment Forum gets underway in Berlin.
The deal allows M&T to utilise the investment resources and expertise of one of Europe’s fastest growing real estate development and asset management houses while Freo, which has acquired 25 per cent of M&T’s shares as part of the agreement, will have access to one of Europe’s leading hotel platforms.
M&T will continue to provide its broad range of services – hotel management, advisory, asset management and brand selection - to its customers as it has done since its inception almost a decade ago.
David Michels, chairman of M&T commented: “Having successfully grown all areas of our businesses in recent years, we have managed to build a well-respected and substantive hotel platform upon which our client base has been able to rely over the past few years.
“This deal with Freo allows us to continue to develop our core businesses for our clients but now with real investment resources behind us.”
AHV Associates, the boutique investment bank in the hospitality sector, initiated the partnership discussions and advised Freo on the transaction.
Hugh Taylor, chief executive of M&T added: “We are very excited about our new relationship with Freo Group.
“This strategic partnership is the logical next step for our business and will allow us to work even closer with our current and future clients on their hotel and investment strategies.
“In Freo, we now have a partner to help us move ahead with the next stage of our development and we very much look forward to working with Matthias, Andrew and their team.”
The tie up with Freo will now also enable M&T to join its current and future clients in active investment opportunities as well as sourcing with Freo and its investment partners its own acquisitions.
Andrew Hunter, managing director of Freo Management, UK, concluded: “Freo believes that expertise in managed real estate is critical for future development and asset management.
“Hotel operations is a very important part of this, and we are privileged to be able to enter into a strategic partnership with the class leading group of M&T.
“This relationship will open up significant opportunities for Freo and its investment partners across the full value chain of hotels, from initial feasibility through delivery to long term operation.”
The International Hotel Investment Forum conference programme is one of the best in the world, with key-note presentations, leaders’ panels and specialised breakout sessions.
In 2019, over 200 speakers have been selected to take part in the programme, all because they are leaders in the field and have something important to say.
Find out more about the event on the official website.