TRENDING
The Sheung Wan in Hong Kong is part of the Ovolo family agreements with owners who understand the value of the brand . It is the time to start exploring management opportunities in the Asia Pacific market , especially . We are also open to investor partners , where we have an ability to partner with someone , especially someone who has development opportunities and development know how , because that ’ s one thing we don ’ t really know .”
Baswal says Ovolo is happy to bring equity to some of these potential deals and , of course , its operational expertise . “ I believe we are ready to go-and-see that particular side of growth ,” he says without offering specifics on pending deals with this arrangement .
Based on what ’ s being revealed about the company ’ s expansion plans , Robert Hecker of consultancy Horwath HTL in Singapore , says that what ’ s being proposed is geared toward more modest growth then the exponential growth that the company is promoting .
“ They are talking about partnering with investors as they are keen on expanding and they are willing to put in some ‘ pain ’ ( participation ) equity to make it happen ,” Hecker says . “ But what he is describing is not anything particularly unique . It ’ s rather common , but those that do find good partners can expand faster than they would otherwise pursuing only management contract opportunities . It ’ s a more aggressive approach to growth , but they are not the only ones pursing such a strategy . Regardless , it cannot be expected to generate exponential growth , only accelerated growth if they succeed in sourcing supportive investment partners .”
18 hotelsmag . com September 2022