Swedish hotel group Pandox has agreed a deal with investment firm Lone Star to acquire the Jurys Inn hotel group and brand for £800m (€907m) on a debt-free basis.
Pandox is making the acquisition together with Fattal Hotels Group.
Pandox will retain ownership of 20 hotel properties within the portfolio, along with the property and operations of the Hilton Garden Inn London Heathrow hotel.
Fattal will acquire the remaining 15 leasehold properties, which will be managed by Leonardo Hotels Europe, a wholly owned subsidiary of Fattal.
Leonardo will acquire the operating platform for all 36 hotels and the Jurys Inn brand, and operate the management contract for Jurys Inn Prague
This includes four Jurys Inn hotels on the island of Ireland; Jurys Inn Dublin Christchurch, Jurys Inn Cork, Jurys Inn Belfast, and Jurys Inn Galway.
Leonardo will retain the Jurys Inn brand and existing company structures and it will operate the Jurys Inn business as a separate division.
The Jurys Inn business will continue to be led by Jason Carruthers and the existing leadership team.
The deal is expected to close before end of year.
CEO of Pandox Anders Nissen said the acquisition "fulfils all Pandox’s strategic criteria regarding countries, cities and locations, as well as size, segment and profitability, contributing to a further diversification of our revenue base."
He added: "Through the acquisition, Pandox adds 20 new hotel cities to the portfolio and achieves a considerable market presence in the UK and the Republic of Ireland, which are large and dynamic hotel markets."
