Three Hills Capital Partners (“THCP”), an innovative investment house providing tailored capital solutions to mid-market companies is pleased to announce a growth investment from its third fund, Three Hills Capital Solutions III, in Borealis Hotel Group (“the Group” or “Borealis”). THCP will acquire a minority stake in the Amsterdam based hotel development and management company.
Founded in 1997 by Bart van de Kamp, Borealis has developed into a market leader in the Benelux hospitality sector, with a successful track record of developing hotel projects across the Netherlands and Belgium. Today, the Group operates a number of hotels alongside global leading hotel partners including Intercontinental Hotels Group, Hilton, Accor and Marriott. The Group is also expanding across Europe, with further hotels currently under development in the Netherlands, Belgium and France.
Borealis and its management team were well known to THCP from past transactions and this opportunity to work together again was generated through the extensive THCP network. THCP will work closely alongside CEO and founder, Bart van de Kamp, co-Founder Lodewijk van der Meulen and the Group’s senior management team to help drive the business’ domestic and pan-European expansion strategy. The Group has a strong pipeline of projects in various European countries.
The hotel industry in Europe is robust, with growth underpinned by a resilient and active tourism industry as well as a stable economic outlook. There is expected to be a significant increase in tourism over the next five years, which presents a significant opportunity for the hotel and hospitality sectors. In addition, the Group is well positioned to take advantage of developing demographic trends, such as the increased travel of millennials at almost twice the frequency of older generations.
Leks de Boer and Arjan Blok from the Benelux team at THCP commented: “We are excited to work again alongside a management team we know well. Borealis Hotel Group is a leader in the Benelux hospitality scene, with guests drawn to the curated, personalised experiences its hotels provide. We are excited to partner with Bart van de Kamp and Lodewijk van der Meulen, as we support the Group to realise its significant growth potential.”
Bart van de Kamp CEO and founder of Borealis Hotel Group, also noted: “THCP are highly experienced investors, with significant expertise operating in both the Dutch and European markets. We are excited to be working alongside the team as we work to bring our unique hospitality experiences to even more customers across the European continent.”
THCP was advised by Horwath HTL, Graph Consulting, Vriman M&A Lawyers, Hogan Lovells and PwC.
Borealis Hotel Group was advised by ABN Amro, BarentsKrans and De Brock.
Borealis Hotel Group is a fast expanding European hospitality company founded in 1997. Based on its expertise and strong track record, the Group has been involved in over 50 hotel deals with an aggregate value in excess of €3 billion.
After the sale of The Vincent Hotel Group in late 2015, a new hotel portfolio has been built from 2016 onwards focusing on capital cities and key airport locations across Europe.
The business model is based on a preferred partnership with a number of highly reputable global hotel brands such as Intercontinental Hotels Group, Hilton, Accor and Marriott as well as strong partnerships with project development companies and institutional investors. The growth strategy of the Group focusses on France, Germany, Italy, Belgium, the UK, Austria and Scandinavia.