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Diageo sells five-star Gleneagles Hotel
Diageo has sold its five-star hotel and golf resort in Gleneagles, Scotland, to a private investment firm for an undisclosed sum.
The five-star Perthshire hotel which hosted last year’s Ryder Cup has been sold for an undisclosed sum
The private firm is led by Ennismore, a real estate hospitality firm established in Shoreditch, London, which owns The Hoxton brand and develops and operates a string of hotels in Europe and the US.
First opened in 1924, Gleneagles Hotel has been owned by Diageo since 1984 and hosted last year’s Ryder Cup.
The venue reaped £43.4 million in revenue in the year leading up to 30 June 2014 and an operating profit of £2.6m, with a return on invested capital of 4% based on book value during the same period.
“Diageo is proud to have been the owner of Gleneagles but the hotel is not a core business for us and therefore following the success of the Ryder Cup we feel this is an appropriate time to realise value through this transaction,” commented Ivan Menezes, chief executive.
“I am pleased that Diageo’s brands, especially our Scotch brands, will continue to be an important feature at this iconic Scottish hotel.
“We wish Ennismore and the all the staff at the hotel a successful future.”