Norgani completes acquisition of Rica Olrud Hotel, Hamar
Oslo, 26 April 2006: Norgani Hotels ASA - the largest hotel property company in the Nordic region - has today confirmed that all conditions for the acquisition of Rica Olrud Hotell are satisfied. Norgani has acquired the hotel through cash payment. The purchase price is NOK 88.5 million with an implied price per room of NOK 503,000 and a price per square meter of NOK 9,567.
After the finalization of this acquisition, only one hotel transaction remains to be completed - Quality Hotell Arcticus, Harstad - expected to take place early May 2006.
For further information, please contact: CEO Kjell Sagstad, mobile phone +47 92 21 30 20
About Norgani including the Hotelleiendom-transaction Norgani is the owner of a portfolio of 63 larger three or four star hotel properties, centrally located with an average size of 166 rooms. The weighted average lease duration for the total portfolio is approximately 9 years. Tenants include hotel operators such as Scandic / Hilton which leases 45% of the hotels, Choice Hotels Scandinavia (35%), Radisson SAS (8%) and other Nordic and international chains. In addition to the long lease duration, Norgani has minimum lease guarantees from sellers for the next 5 years. The hotels are located in Norway, Sweden, Denmark and Finland. In November 2005 Norgani Hotels was listed on Oslo Børs under the ticker NORGAN. The company headquarter is located in Oslo.