LONDON— According to its Chairman and Chief Executive Officer Gabriele Burgio, NH Hoteles has been in talks with takeover target Astron Hotels for months, and added that talks with other German hoteliers were also in progress, reported HVS International. However, Burgio indicated that the companys ambitions for expansion were not confined solely to Germany, saying that NH Hoteles was keen on three-star and four-star hotels in urban locations in the bigger Euopean countries. It was reported recently that NH Hoteles was looking to expand in the UK, France and Italy. Any expansion is likely to be financed with funds raised from the companys selling 12 non-core hotels, some through sale and leaseback deals, which could realize a reported euro 150 million (US$129.2 million). Burgio also stated that NH Hoteles future challenge was to maintain its status as a company that acquires rather than one that is acquired, possibly contradicting recent reports that NH Hoteles is Six Continents preferred European target. Burgio confirmed that NH Hoteles also has plans to open 23 new hotels by 2003, up to 16 of which could be open by the end of this year. SOURCE: HVS International
