The Abu Dhabi National Exhibitions Company (Adnec) bought a new hotel in London as it continues to expand its portfolio in the hospitality industry.
DoubleTree By Hilton London Excel, a 287-room hotel next to the Adnec-owned ExCeL London exhibition centre, will support the development of the business and leisure tourism sectors in both countries, a statement from Adnec said on Wednesday. The company did not disclose the value of the deal.
“This acquisition strengthens the group’s competitiveness, increases the direct and indirect economic contributions of the hotel and hospitality sector to the UK economy and further enhances the business tourism sectors in both nations,” Humaid Matar Al Dhaheri, managing director and group chief executive of Adnec, said.
The latest addition brings Adnec’s total portfolio of hotels to six. Other hotels under its management include the Aloft Abu Dhabi, Andaz Capital Gate Abu Dhabi, the Anantara Sir Bani Yas Island Abu Dhabi, and the Qasr Al Sarab Desert Resort by Anantara in the UAE. It also owns the Aloft London ExCel.
“We are confident that the addition of this new hotel will further solidify ExCeL’s wider competitive offering, in line with Adnec’s wider global growth strategy,” Jeremy Rees, chief executive at ExCeL London, said.
Adnec is part of state holding company ADQ and is involved in discussions over a proposed merger with Abu Dhabi National Hotels to create one of the largest hospitality, events and catering groups in the region with total assets of $5.45 billion.
The merged entity would comprise 28 owned and operated hotels with a total of 6,700 rooms, three large exhibition centres in Abu Dhabi, Al Ain and London as well as several catering companies and food and beverage outlets, ADQ said last month. The deal is expected to complete in the second half of the year following regulatory approvals.
Adnec also formed a new company named Tourism 365 to attract more visitors to Abu Dhabi and develop its tourism sector.
The UK, the world’s sixth-largest economy, is projected to grow 5.3 per cent in 2021 after a 9.9 per cent contraction last year, according to the International Monetary Fund. The country plans to remove all Covid-19 related restrictions on July 19, which is expected to benefit the hotel industry and other sectors.
Abu Dhabi's economic growth is expected to be between 6 per cent and 8 per cent over the next two years, driven by government spending, financial services and foreign direct investment, Mohammed Al Shorafa, chairman of the emirate's Department of Economic Development, said earlier this year.
Adnec also owns and operates the Abu Dhabi National Exhibition Centre, one of the largest exhibition venues in the Mena region.
