Peel Hotels Share Discussion Threads

[stevenlondon3] 29/10/2024 11:45

Unpleasantly interesting that an asset becomes a liability.

[pdosullivan] 28/10/2024 23:36

The loss making hotels in Nottingham and Dunfermline were put into liquidation in 2020. These were leased properties and Peel paid STG2.5m to settle future rent liabilities in the last financial year. Negotiations with the landlord for the Strathdon in Nottingham are ongoing but seem likely to result in a similar settlement.

[stevenlondon3] 28/10/2024 20:17

Could someone please tell me the history behind the King Malcolm Hotel...paying off the rent cost £2.5m?

[pdosullivan] 01/8/2024 20:38

Yes but it is not a non cash exceptional - it cost 2.5m - and management are flagging a risk of a similar exceptional cash charge this financial year. Unhelpful.

[chiguiro] 01/8/2024 14:11

It's all due to exceptionals though.
Now that the group is debt free, it would have been good to get some statement of the direction going forward - further hotel sales, distributions, etc.

[pdosullivan] 24/7/2024 22:42

A disappointing set of results from Peel today. NAV down to 12.3m pounds in January from 14.1m a year earlier.

[stevenlondon3] 19/10/2023 08:32

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 18:08

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

[pdosullivan] 16/9/2023 13:10

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

[pdosullivan] 16/9/2023 06:18

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 10:34

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 06:42

Looking forward to receiving the Jan 2023 report and acocounts.

[davidosh] 24/8/2023 09:54

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 07:23

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 07:07

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 20:04

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 10:46

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 14:05

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 05:40

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 12:16

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

[cjohn] 14/10/2022 12:09

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 20:06

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

[davidosh] 15/6/2022 19:24

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