INTERNATIONAL HOTEL GROUP LIMITED - Acquisition Of Loans Secured Against Three Travelodge Hotels

Acquisition Of Loans Secured Against Three Travelodge Hotels

International Hotel Group Limited
(previously RBDL Investments Limited)
(Incorporated in the British Virgin Islands)
(Company number 1862176)
 JSE share code: IHL
ISIN: VGG7396G1046
(“IHGL” or the “Company”)


ACQUISITION OF LOANS SECURED AGAINST THREE TRAVELODGE HOTELS


IHGL, the hotel and leisure focused property investment company, announces the acquisition of loans amounting to
£23.5million (excluding costs) secured against three UK Travelodge hotels located in Leatherhead, Slough and Perth
(the “Properties”) (the “Loan”)

It is the intention of the Company to effect the security over the Properties and acquire the property assets directly as
soon as possible after the acquisition of the Loan. The Properties are currently held by SPVs which are all in
receivership:-

    - The Leatherhead hotel, which will be bought for c£7million, has 246 bedrooms with a long leasehold tenure
      expiring in 2253 and a passing rent of £408,430 p.a. The hotel is let to Travelodge until 2037.

    - The Slough hotel was a former office building and has recently undergone a brand refresh renovation. The hotel
      has 271 bedrooms with a bar and café and has a long leasehold tenure with a passing rent of £698,801. The
      hotel is let to Travelodge until 2037 and the acquisition cost for the property is c£12.7million.

    - The purpose built Perth hotel has 68 bedrooms with 87 car parking spaces and will be purchased freehold, for
      c£3.8million. Passing rent is £276,917 p.a. and the hotel is let to Travelodge until 2029.

On completion of the transaction the net initial yield on the three properties is c5.6%.

Commenting, CEO Helder Pereira said

“This is an opportunistic transaction whereby we have been able to secure three well located hotel properties let on
very long term lease agreements with the Travelodge Group. By initially acquiring the debt, we have been able to
effectively secure the hotel properties on very favourable terms”.

For further information please contact:


M Partners S.à r.l.
Luxembourg listing agent                                   +352 263 868 610

Java Capital
JSE sponsor                                                +27 (0) 11 722 3050

FTI Consulting
South African Public Relations Advisor
Max Gebhardt                                               +27 (0) 11 214 2402

Notes to editors:

IHGL is a hotel and leisure focused property Investment Company which owns three hotels in the UK. The
Company’s shares are currently listed on the Euro MTF Market of the Luxembourg Stock Exchange, which
constitutes its primary listing, and on the AltX of the JSE which constitutes its secondary listing.


3 November 2015

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