THE Wyndham Hotel Group and the Corinthia Group of Companies have signed an agreement in principle to jointly manage hotels under the Wyndham and Ramada brands in Europe, the Middle East and Africa (the EMEA region).
The agreement was signed at the Corinthia Group’s headquarters in Malta by Steven A Rudnitsky, Wyndham Hotel Group president and chief executive officer, and Alfred Pisani, Corinthia Group chairman and chief executive.
Under terms of the deal, 15 existing Corinthia-owned hotels across Europe, Africa and the Mediterranean will be re-branded as Ramada Plaza, Wyndham Hotels, and certain Corinthia-branded properties will be affiliated with a new tier – the Wyndham Grand Collection.
The Wyndham Hotel Group will also enter into a partnership with Corinthia Hotels International to offer hotel management services in the EMEA region for those brands.
Under the partnership, the companies expect to gain mutual efficiencies by consolidating support functions including sales and marketing, which will focus on driving business to Ramada, Wyndham and Corinthia hotels in the region.
“This relationship will expand our portfolio in the EMEA region and establish our management business, which will become an integral component of our expansion strategy,” said Rudnitsky.
“Our goal is to deliver more bookings to existing Corinthia properties by integrating them into our sales, marketing and distribution systems.”
Pisani said his company will explore opportunities to develop Ramada, Wyndham and Wyndham Grand Collection hotels throughout the region.
“Our association with Wyndham Hotel Group will expand our profile and provide a much broader base of potential customers through their worldwide distribution system,” Pisani said. “Our knowledge of the markets and experience developing and managing upscale hotels in the region will accelerate Wyndham Hotel Group’s ability to expand its portfolio.”
Pending customary regulatory approval and conditions of closing, the deal is expected to be finalised within the next 60 days. Financial terms were not disclosed.
Wyndham Hotel Group, one of three principal components of Wyndham Worldwide, encompasses more than 6,400 franchised and managed hotels and 535,000 hotel rooms worldwide. Through Wyndham Hotel Group, RCI Global Vacation Network and Wyndham Vacation Ownership, it offers individual consumers and business-to-business customers a broad suite of hospitality products and services across various accommodation alternatives and price ranges through its premier portfolio of world-renowned brands.
The Corinthia Group participates in the world travel industry through its four business units including International Hotel Investments, which focuses on hotel real estate acquisition and investment; Corinthia Hotels International, which manages 20 four- and five-star hotels totalling 5,300 rooms in 11 countries in Europe, Africa and the Mediterranean as well as a network of sales offices worldwide; Quality Project Management, which provides construction and project management services; and Corinthia In-Flight Services, which provides industrial catering.