MONTERREY, Mexico--(BUSINESS WIRE)--Deutsche Bank Mexico, S.A., Banking Institution, Trust Division F/1616 or Fibra Inn (BMV:FINN13) (“Fibra Inn” or “the Company”), a Mexican real estate investment trust specializing in the hotel industry serving the business traveler, announced today the purchase of the Marriott Real Puebla Hotel.
The acquisition was paid in cash with the proceeds from the initial public offering that took place on March 13, 2013. The price was US $ 27.8 million, excluding taxes and acquisition expenses. The foreign exchange purchase was made during May and June to anticipate this transaction, as follows:
- US $22.0 million at an exchange rate of Ps.12.65 per dollar.
- US $5.8 million at an exchange rate of Ps.12.23 per dollar.
Therefore, the average exchange rate was Ps.12.56 per dollar. This transaction will generate an exchange gain as the payment in local currency of Ps.370.3 million will be accounted at an exchange rate of Ps.13.3366 per dollar.
This acquisition represents the third hotel of the pipeline, after consolidating the commitment to purchase the hotels announced during the Initial Public Offering.
The Marriott Real Puebla has 192 rooms; it is a leading hotel in the local market and is located on Avenida Hermanos Serdán very close to the Mexico – Puebla highway and the FINSA industrial park. This area is strategic for Fibra Inn as it has demonstrated significant economic growth that is linked to automotive industry investment, mainly in the Volkswagen and Audi plants, as well as in their auto parts providers. Puebla is also a weekend tourist destination for citizens of Mexico City and surrounding towns. Additionally, the Marriott Brand is a popular and highly-recognized brand for the international traveler. During 2012, this hotel’s occupancy rate was 74%; its average daily rate was Ps. 1,191 and the RevPar was Ps. 885. This hotel will be operated Fibra Inn´s Hotel Operator. It is expected to add another 100 rooms that will be fully operating by the fourth quarter of 2014.
Including this acquisition, Fibra Inn owns 17 hotels with a total of 3,122 rooms; and 300 out of the total are under construction.
For more information, visit: http://fibrainn.mx/inversionistas.php.
About the Company
Fibra Inn is a Mexican trust formed primarily to acquire, own, develop, operate and rent a broad range of hotel properties in Mexico. Headquartered in Monterrey, Fibra Inn has a portfolio of 17 high-quality hotels and geographically-diverse located in ten states throughout Mexico, comprising approximately 3,122 rooms. The Company has signed Franchise Agreements with IHG to operate its global brands Holiday Inn, Holiday Inn Express, and Holiday Inn Express & Suites; with Hilton to operate its brand Hampton Inn by Hilton; and is in the process with IHG, Marriott International and Wyndham Hotel Group to operate its global brands. These hotels enjoy some of the industry’s top loyalty programs and, offer attractive hotel options for businesses travelers. Fibra Inn recently listed its Real Estate Trust Certificates (Certificados Bursátiles Fiduciarios Inmobiliarios or “CBFIs”) on the Mexican Stock Exchange and trades under the ticker symbol “FINN13”.
For more information, please visit: http://fibrainn.mx/en/investors.php.
Note on Forward-Looking Statements
This press release may contain forward-looking statements. These statements are statements that are not historical facts, and are based on management’s current view and estimates of future economic circumstances, industry conditions, Company performance and financial results. Also, certain reclassifications have been made to make figures comparable for the periods. The words “anticipates”, “believes”, “estimates”, “expects”, “plans” and similar expressions, as they relate to the Company, are intended to identify forward-looking statements. Statements regarding the declaration or payment of dividends, the implementation of principal operating and financing strategies and capital expenditure plans, the direction of future operations and the factors or trends affecting financial condition, liquidity or results of operations are examples of forward-looking statements. Such statements reflect the current views of management and are subject to a number of risks and uncertainties. There is no guarantee that the expected events, trends or results will actually occur. The statements are based on many assumptions and factors, including general economic and market conditions, industry conditions, and operating factors. Any changes in such assumptions or factors could cause actual results to differ materially from current expectations.