Salter Brothers close oversubscribed NEXT Hotel Acquisition capital raising
Salter Brothers is pleased to announce that it has closed its $104m equity raising for the Salter Brothers Hotel Group. The capital raising was oversubscribed.
The capital will be used to partially fund the acquisition of the NEXT Hotel in Brisbane.
NEXT Hotel is the first Brisbane property and the 7th Australian hotel acquired and retained by the Salter Brothers Hotel Group since December 2015. The recently renovated and refurbished upscale hotel, which features 304 rooms, restaurant, outdoor pool and gymnasium, is located in the Brisbane CBD’s prime retail strip, Queen Street Mall. The hotel is leased to an entity of the NEXT Story Group, which operates the NEXT Hotels brand. The property also includes two levels of prime retail space, part of which is leased to Westpac Banking Corporation.
Paul Salter, Managing Director of Salter Brothers, commenting on closing the NEXT Hotel acquisition capital raising said “we would like to thank both our existing investors who continue to show faith in our long term strategy and also a number of new investors that have joined our register.”
Niall McCarthy, Director of Funds Management at Salter Brothers, said “the significant interest in the Salter Brothers Hotel Group from both sophisticated high net worth investors and institutional investors is testament to the quality of the portfolio, the team and ongoing opportunity that has been developed over the last 4 years.”
With this acquisition now finalised, Salter Brothers will focus on its new build pipeline of hotels across Australia and its separate plans to raise additional capital to support these expansion and development initiatives. Credit Suisse (Australia) Limited and UBS AG, Australia Branch have again been engaged to act as joint lead managers in this process.
Advising Salter Brothers on the NEXT Hotel capital raising were joint lead managers UBS AG, Australia Branch and Credit Suisse (Australia) Limited, MAP Capital as corporate and debt advisor and MinterEllison as legal advisor.
For further information, please contact:
Nancy De Losa
Director | Marketing