CapitaLand’s Ascott acquires Dublin hotel for S$83.6 mil

SINGAPORE (Dec 16): CapitaLand on Friday announced that wholly-owned serviced residence business unit The Ascott has acquired Temple Bar Hotel in Ireland capital Dublin for 55.1 million euro (S$83.6 million or RM257.4 million).

CapitaLand’s wholly-owned subsidiary Ascott Operations Eight has acquired the entire issued share capital of Sabden, which owns the hotel, for a cash consideration of 31.3 million euro.

It takes into account the agreed 55.1 million euro value of the property, adjusted for bank and shareholder loans owing by Sabden amounting to 25.6 million euro.

In an SGX filing on Friday, CapitaLand says the acquisition has been completed, and Sabden has become a wholly owned subsidiary of CapitaLand.

“Europe is a key market for Ascott’s global expansion. Ireland’s pro-business environment has attracted some of the world’s biggest companies such as Google, Facebook, Microsoft and LinkedIn to establish their European headquarters in Dublin,” says Ascott CEO Lee Chee Koon.

The acquisition will boost Ascott’s €1.2 billion (over S$1.8 billion) portfolio in Europe and bring us closer to our target of 10,000 units in the region by 2020,” Lee adds.

The 136-unit hotel is located in the vibrant cultural heart of Dublin’s city centre, is close to museums, boutiques, restaurants, cafés, galleries and attractions such as the famous Dublin Castle, Guinness Storehouse and Jameson Distillery.

It sits on Fleet Street, minutes away from Dame Street, a main thoroughfare in the Irish capital where many financial institutions such as the Central Bank of Ireland, Allied Irish Bank and Ulster Bank are situated.

CapitaLand says the acquisition s not expected to have any material impact on the net tangible assets or earnings per share of the CapitaLand Group for the financial year ending Dec 31, 2016.

Shares of CapitaLand closed 4 cents lower at S$3.04 on Thursday. — theedgemarkets.com.sg