Dominion Hospitality--an affiliate of Stellex Capital Management, a private equity group that invests in middle market companies in North America and Europe--has acquired the Chapman Group, which owns and manages 28 hotels and pubs in the south of England.
The acquisition, according to a statement, is focused on providing growth capital and resources to expand Dominion’s presence in the UK. The transaction was brokered by Neil Morgan of Christie & Co., and the purchase price was not disclosed.
Stellex is partnering with two industry veterans to assist with its plans: Ted Kennedy, who owns Pebble Hotels and was previously an MD in Whitbread’s managed pub division, and Billy Buchanan, chief executive of LT Management Services. Ted Kennedy will serve as chairman for Dominion and LT Management Services has been appointed to provide the front and back office support.
“We have evaluated a number of portfolios in the UK hospitality sector over the past 18 months, and believe that the Chapman Group provides us with a solid platform for growth, given its strong market presence and team of managers," Karthik Achar, partner of Stellex’s European office, said in a statement.
The Chapman Group launched in 1983 by Christopher and Delia Chapman. Some of the properties operate under the RelaxInnz brand of hotels, including the Globe and Crown in Yeovil, Somerset; the New Inn hotel in Gloucester; and the Old Crown Coaching Inn in Faringdon, Oxfordshire.
Over the last 15 years, Christie & Co. has been advising and working with the Chapman Group to create an estate that was previously primarily focused on pubs. Since 2001, all new acquisitions have had guest accommodations as part of the property.