B&B Hotels and Covivio sign deal boosting B&B Hotels' growth in Poland
* A deal that will double B&B Hotels' capacity in Poland
* A venture testifying to the dynamic business model of B&B Hotels, which
posted 2018 revenues up 18.2% driven by surging European growth
* A further transaction that bears out the two companies' solid alliance and
Covivio's skill to support and fuel growth of European hotel chains
No. 1 European independent budget hotel chain B&B Hotels and Covivio Hotels, in
which Covivio holds a 43.2% stake, have signed an agreement whereby B&B Hotels
will buy three existing hotels for EUR24m in Lodz, Warsaw and Krakow and
develop other hotels. The transaction will double B&B Hotels' capacity in
This deal will give B&B Hotels a platform to ramp up growth in the country by
building new hotels amounting to some 1,500 bedrooms in Poland's biggest
cities. The transaction involves B&B Hotels acquiring its new Polish hotels
under long-term leases.
Having first teamed up in 2010, B&B Hotels and Covivio now work together on
major hotel ventures in France, Spain and Germany, where they own and operate
157 hotels totalling 13,715 bedrooms.
B&B Hotels CEO Fabrice Collet said: "This latest deal will further bolster our
partnership with Covivio while once again testifying to our brand appeal. We
have considerable growth potential, particularly in central Europe."
Covivio Deputy CEO Dominique Ozanne exclaimed: "With this agreement, we
continue our partnership with B&B Hotels who we've helped to grow across Europe
ever since 2010. Meanwhile, this deal, initiated with the completed EUR24m
purchase of three hotels in Lodz, Warsaw and Krakow, signal our arrival on the
Polish hotel market, which is very buoyant and has excellent growth prospects."
Poland, the no. 1 European budget hotel chain's latest target market
B&B Hotels currently has 7 hotels in Poland and plans to step up the pace of
expansion over the next five years striving to double its bedrooms in the
In 2018, the Company ramped up growth across Europe seizing top spot on the
German and Italian markets, further expanding in France and Spain, and moving
into five new countries - Portugal, Belgium, Switzerland, Austria and Slovenia.
This latest transaction gives Covivio a hotel real estate presence in the
biggest metropolitan areas of ten European countries. Backed by 400 owned
hotels, Covivio's hotel assets are worth EUR5.7bn.
Thanks to its partnering history, its real estate expertise and its European
culture, Covivio is inventing today's user experience and designing tomorrow's
A preferred real estate player at the European level, Covivio is close to its
end users, capturing their aspirations, combining work, travel, living, and
co-inventing vibrant spaces.
A benchmark in the European real estate market with 23 BnEUR in assets, Covivio
offers support to companies, hotel brands and territories in their pursuit for
attractiveness, transformation and responsible performance.
Its living, dynamic approach opens up exciting project and career prospects for
Covivio's shares are listed in the Euronext Paris A compartment (FR0000064578 -
COV) and on the MTA market (Mercato Telematico Azionario) of the Milan stock
exchange, are admitted to trading on the SRD, and are included in the
composition of the MSCI, SBF 120, Euronext IEIF "SIIC France" and CAC Mid100
indices, in the "EPRA" and "GPR 250" benchmark European real estate indices,
EPRA BPRs Gold Awards (financial + Sustainability), CDP (A), Green Star GRESB
and in the ESG FTSE4 Good, DJSI World & Europe, Euronext Vigeo (World 120,
Eurozone 120, Europe 120 and France 20), Euronext(r) CDP Environment France EW,
Oekom, Ethibel, Sustainalytics and Gaïa ethical indices.
Covivio is rated BBB+/Stable outlook by Standard and Poor's.
Financial part: BBB+ / Stable outlook by Standard and Poor's
Extra-financial part: A1+ by Vigeo-Eiris
ABOUT B&B HOTELS GROUP
B&B Hotels Group, majority-owned by Goldman Sachs, is the leading and fastest
growing independent short-stay hotel chain. As of August 2019, the company
operated 503 hotels including 283 in France, 128 in Germany, 38 in Italy, 32 in
Spain, 3 in Switzerland, 3 in Brazil, 2 in Portugal, 2 in Belgium, 1 in the
Czech Republic, 1 in Slovenia and 3 in Austria. B&B Hotels welcome both
business and tourist guests providing them high quality comfort and services at
affordable prices. The company reported 2018 revenues of EUR580 million.