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Spain Sees New Hotel Mergers Amid Pandemic

 |  August 24, 2020

Spanish hotels, blighted by empty beds during the pandemic, may find their best way out of the crisis is to sell up or buy rivals, Bloomberg reported

“There are going to be opportunities to sell and the hotel chains are going to be very attentive to that,” said Javier Jimenez, head of Spain’s Association of Hotel Directors in the Costa Blanca region, which includes the resort towns of Benidorm, Denia, and Torrevieja.

Pummeled by a health emergency that has seen spending by international tourists plunge 71% in the first six months of the year, hoteliers are doing what they can to survive. For investors and larger hotel chains with sturdy balance sheets, the pandemic presents a chance to snap up smaller establishments that are struggling to weather the storm, said Jimenez.

That view is in line with a survey published by Deloitte Spain, in which 40% of hotel-sector executives said they thought investors would seize on the crisis to buy establishments in difficulties.

Full Content: Bloomberg

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