KUALA LUMPUR (July 25): TA Global Bhd's subsidiary Siam Resorts Company Ltd has inked a deal to acquire the hotel and business of Four Points by Sheraton Bangkok, Sukhumvit 15, for 2.25 billion baht (about RM299.93 million).
In a filing to Bursa Malaysia today, TA Global said Siam Resorts had entered the agreement yesterday with Destination Resorts Co Ltd.
It said the hotel is located in the city centre of Bangkok and is conveniently located next to the BTS Asok Skytrain and Sukhumvit Metro Station.
It added that the hotel is also near numerous local offices and entertainment and retail options at Terminal 21, CentralWorld and Platinum Fashion Mall.
The hotel comprises a seven-storey building with two basements and a rooftop located in the middle of Bangkok's Sukhumvit area, said TA Global, adding that the hotel features 268 guestrooms.
The group said the acquisition will be funded by internally generated funds (40%) and external borrowings (60%).
On the rationale for the purchase, TA Global said it is expected to bring synergistic benefits to the group as it will further enhance its hospitality operations in major cities around the world and increase its existing portfolio of hospitality properties, leveraging the group's experience and competence as owner of hotel properties.
At the midday break today, TA Global was flat at 25 sen for a market capitalisation of RM1.33 billion.