Like To Read More. Subscribe.
Intercontinental Buys the luxury wellness resorts Six Senses Resorts and Spas with resorts in Maldives, Thailand and Portugal. A $300 million deal secures the Thailand-born Six Senses brand as part of the Intercontinental Hotel Group.
Following their recent acquisition of Regent Hotels, IHG has purchased Six Senses group from private equity fund ‘Pegasus Capital Advisors’ for $300 million. The deal will include 16 hotels and resorts, 37 spas and partner companies of the group; Evason and Raison d’Etre.
Intercontinental Adds Top-Tier Luxury Brand
The Six Senses acquisition brings IHG’s portfolio of current and future luxury hotel openings to a total of 400, with a global count of around 108,000 rooms. Six Senses operates properties in Thailand, the Maldives, Oman, Seychelles, alongside Portugal’s famous Douro Valley. IHG has big plans for the expansion of Six Senses, which currently produces fee revenues of figures exceeding $13 million. They plan to expand the brand with up to 60 properties globally in the next ten years, now working on a field of scheduled locations. IHG will retain the luxurious elements that Six Senses is known for, looking at high-end destinations for their growth such as West Chelsea, an affluent area in Manhattan, New York City.
When Six Senses introduced their first resorts, their focus was remote beaches and tropical locations, but expansion is dynamically planned outside of this. Six Senses has recently expressed the belief that enriching travel and emotional hospitality is not a formulaic method and IHG will surprise many with locations steering away from tropical destinations. Current location plans include a private-island property in Krabey in Cambodia, five lodges in Bhutan and a 14th-century-old restored fort in the unusual Rajasthan. The ten-year plan also plans for a desert hideaway in an Israeli desert, regeneration of 19th-century mansions in the Turkish capital of Istanbul and other projects expected in China, Spain, Taiwan, Austria and of course, Thailand.
A Spa and Wellness Break Champion Joins Intercontinental
Six Senses is a stand out brand when it comes to trends in wellness, sustainability and design. The key features of the properties tend to be their luxury spa facilities that offer intricate wellness programs, local therapies and yoga. Wellness is incorporated into their packages, and the luxury brand has received high acclaim for this through online reviewing platforms. IHG plans to champion the unique place that Six Senses holds in the hospitality sector and only enhance it. Six Senses have famously integrated wellness into the entire stay for guests and placed emphasis on this in food and sleeping methods. Sleep With Six Senses, Eat With Six Senses and the most recently implemented, Grow With Six Senses (children) have proved to be incredibly successful additions. The initiatives have positively assisted in driving people to use resort time learning something new and reconnecting with themselves and others.
The Only Way is Up for Intercontinental Hotels
The InterContinental Hotels Group already owns, manages and franchises over 5,500 hotels in almost 100 countries. IHG has over 1,800 hotels and resorts in development. IHG is continually evolving and alongside Six Senses, have recently incorporated other luxury brands like Regent Hotels & Resorts and Kimpton alongside their own Intercontinental and Holiday Inn Hotels & Resorts. Their efforts at expansion and growth have followed pressure rooted in competition from online rental services like Airbnb. The company refocused its key markets and continue to grow a luxury portfolio. IHG’s competitors have evolved to include the luxury resorts from the likes of Marriott and The Hilton. The deal with Pegasus Capital Advisors that secured Six Senses for IHG does not contain any real estate assets. It currently forecasts that IHG will return around the same cost of capital by the fourth year that follows the Six Senses purchase.
The deal adds another Asian goldmine to the IHG portfolio and truly puts them at the top of the game for luxury and wellness in Thailand and beyond. The current plans for IHG look well set to bring a new level of luxury tourism to Thailand, alongside an array of wedding-perfect and spiritually-focused resorts.