Indonesia's Sahid Hotels & Resorts Group is reportedly in negotiations with the Egyptian Ministries of Tourism and Investment and International Cooperation, as well as private sector companies for joint ventures.
According to Andrizal Amran, general manager for the Sahid Jaya hotel in Yogyakarta, the group is looking to invest in the country's hotel and tourism-education sectors, and plans to visit Egypt next spring to continue discussions with the Egyptian team.
Vivi Herlambang, director of business development at Sahid, said Uzbekistan's government invited the group to discuss possible cooperation opportunities for JVs. "Hopefully we will have the same fruitful outcome during Egypt's negotiations," she said, noting Egypt is a "very favorable" market for partnerships due to its popularity among Indonesian tourists.
Herlambang did not specify how much Sahid would invest in this joint venture, or which cities would be in mind for future development. Last month, Colliers International called Sharm El-Sheikh and Hurghada "touristic hotspots" with forecasted growth of 18 percent and 13 percent, respectively, in RevPAR, while hotels in Alexandria are expected to see only a "limited" increase in RevPAR.
The group manages 26 hotels with 3,824 guestrooms in Indonesia's 18 major cities, and will begin operating a hotel in Uzbekistan next year. The company has 10 new hotel projects under development, and is aiming to have 100 hotels open and in the pipeline by 2025. In addition to managing its own properties, Sahid also operates and manages hotels and other properties owned by investors and partners.