Peel Hotels Share Discussion Threads

[stevenlondon3] 19/10/2023 09:32

Copied from Whitbread's interim results "UK hotel demand is strong and with supply not now expected to return to pre-pandemic levels for at least five years."

[stevenlondon3] 17/9/2023 19:08

Were the two hotels sold for more or less than book value?

[pdosullivan] 16/9/2023 14:10

NAV of GBP1.01 a share in January 2023 versus a GBP0.30 current bid on the AssetMatch.com platform

[pdosullivan] 16/9/2023 07:18

Accounts to January 2023 have been quietly posted on the Peel Hotels website https://www.peelhotels.co.uk/pdfs/peel-hotels-financial-statements-22nd-january-2023.pdf

[pdosullivan] 27/8/2023 11:34

Yes and I hope that the results announcement will be accompanied by news of a tender offer. It is clear from AssetMatch auctions that some shareholders are happy to sell at a big discount to NAV. It would benefit patient investors if their shares were repurchased at a discount to net assets.

[stevenlondon3] 25/8/2023 07:42

Looking forward to receiving the Jan 2023 report and acocounts.

[davidosh] 24/8/2023 10:54

The website has the company as owning just four hotels now and I fondly rememmber the Bull as where we held a Mello conference in 2015

[pdosullivan] 23/6/2023 08:23

All fair. I expect the company is in frequent dialogue with agents about levels it would be happy to let its remaining assets go at it too.

[cjohn] 23/6/2023 08:07

hxxps://www.thecaterer.com/news/peel-hotels-three-properties-sale-midland-george-caledonian

hxxps://www.thecaterer.com/news/six-peel-hotels-properties-sale-right-price

Hello pdosullivan,

Here are a couple of references.

It's true these are a few months and a year old now, but the Company hasn't announced a change of mind, so I'm assuming they are still looking for buyers.

[pdosullivan] 22/6/2023 21:04

I agree with your fundamental thesis and hope to see the launch of a tender offer in the near future - it seems from the skinny volumes on AssetMatch that some shareholders are happy to take any bid for their stock. I am happy to wait until all of the hotels are sold. My question though relates to the Wallingford and Newcastle hotels - on what platform are you seeing them being offered for sale please? Thank you.

[cjohn] 22/6/2023 11:46

So on April 6th, Company confirmed the mooted sale of the Norfolk Royale, Bournemouth and the Midland Hotel, Bradford.

They are now debt-free and indeed should have net cash. The Company made clear that they'd only sell the Midland for a minimum 3 million. So the two sales together should have generated well over 10m.

So net cash of around 4m?

Only four hotels left now and two of those - Wallingford and Newcastle - are up for sale.

Moving towards total liquidation.

[pdosullivan] 03/2/2023 10:38

Local media reporting that PHO has sold the Norfolk Royal hotel in Bournemouth. No details on the price but it was originally listed for 8.5m and net debt was 7.2m in January 2022 so the Group is now likely to be in a net cash position. The sale of more hotels should facilitate the long awaited return of capital to shareholders.

[playful] 04/1/2023 05:31

Former owner Mr Pennington, who told the Telegraph & Argus he sold the hotel for £4.8 million 25 years ago - £1.8 million more than its current asking price – said the premises needs to be under the correct ownership but fears it could end up in the wrong hands due to the price.

[pdosullivan] 29/10/2022 15:05

Coincidentally the £7.2m of debt will, all else being equal, reduce to zero assuming The Caledonian Hotel in Newcastle makes its £6.5m guide price and the £700k insurance payout is received.

[cjohn] 28/10/2022 06:40

Hello, davidosh, I see no reference to an AGM in the report.

Probably best to ring the company and ask.

I would try to attend; though thus is sometimes tricky for me, as I am based in Spain and have various family commitments here.

[davidosh] 14/10/2022 13:16

Thanks for the update.....Will they hold an Agm?

[cjohn] 14/10/2022 13:09

The results to January 2022 are out. They make very good reading in view of the multiple difficulties faced by the sector.

Highlights: after tax loss of a few thousand pounds. So much better than the previous year - which was harder hit by covid. REVPAR up markedly, of course.

Debt down a few hundred K to about 7.2m.

Post-year end: PHO's insurer accepted liability for COVID losses. 1m already paid. 700k pending.

Claims for further losses likely to more than double that sum.

So this will make a major impact on debt levels.

A very welcome piece of news.


No update in the results on the pending hotel sales.

[topvest] 15/6/2022 21:06

LOL. Coventry last year. Someone is having a laugh picking the winners!

[davidosh] 15/6/2022 20:24

The Bradford one should appreciate in value now the city has been named as City of Culture for 2025

[pdosullivan] 15/6/2022 20:11

A further 3 Peel Hotels are being marketed for sale. Assuming these are disposed alongside the previously listed for sale Norfolk Royale, this will reduce the portfolio to just two hotels https://www.christie.com/news-resources/press-releases/peel-hotels-instructs-christie-co-to-market-additional-hotels-within-its-portfolio/

[topvest] 16/4/2022 08:07

Agreed. Peel Hotels should be able to pay of their debt provided they sell one of their hotels whilst the going is good. Other more indebted hotel groups may not survive though.

[cjohn] 15/4/2022 22:48

If they find a buyer, there will not be an issue with debt.

At the share price they traded at before de-listing, they were at a deep discount to NTAV.

So a successful resolution of assets within a few years will produce a decent return, in spite of COVID and rising energy prices.

[topvest] 15/4/2022 19:14

Paul Scott has talked about this on Stockopedia and the read across more widely on banks tightening their lending criteria / reigning in lending. It's fairly ominous for the hospitality sector if the banks are refusing to renew the debt facility at Peel Hotels. There must be far worse customers than Mr Peel given his personal support for the group in times of difficulty.

I had thought earlier this week though that the hotel trade must really be struggling. 2 years of Covid-19, then they get customers back but are hit with 1. Enormous energy price increases; 2. Massive labour rate cost inflation; and 3. Increased interest rates. The banks could well pull the plug on a number of hotel groups later in the year in my view.

[pdosullivan] 15/4/2022 08:36

This week it emerged that Peel has put one of its six remaining hotels up for sale. A disposal at the guide price would leave it debt free, potentially opening the door to buy backs and / or dividends https://www.bournemouthecho.co.uk/news/20062829.amp/

[pdosullivan] 08/12/2021 20:17

Hi all, I have written a blog on Peel Hotels, which I am a shareholder in, that may be of interest to some of you. The blog can be found here: https://tbifund.wordpress.com/2021/12/08/peel-hotels-pho-ln-check-in-before-they-check-out/