INTO.L Regulatory News (INTO)

INTOSOL Holdings Plc - New Boutique Hotel in Cape Town Strengthens Portfolio

PR Newswire

London, December 24

INTOSOL Holdings Plc / Ticker: INTO / Index: LSE / Sector: Travel & Leisure

28 December 2018

INTOSOL Holdings Plc (‘INTOSOL’ or the ‘Company’)

New Boutique Hotel in Cape Town Strengthens Portfolio

INTOSOL Holdings Plc, the award-winning international luxury travel company, is delighted to announce that it has added a sixth property to its portfolio of owned and managed boutique hotels, the SOUL on Llandudno located in Cape Town, in line with its strategy of increasing revenues and margins. 

Highlights

INTOSOL Executive Chairman, Rainer Spekowius, said: “Since listing in London in October, we have made excellent progress developing our portfolio, building our client base and strengthening our team. SOUL on Llandudno is an excellent addition to our SOUL Private Collection and I am confident that given its premier location, boutique interiors, high-end service and stunning views, it will emulate the success of our highly cash-generative flagship property, Oceans Wilderness, and provide further proof of our business concept. This agreement follows the acquisition of a site for the development of the Leadwood Safari lodge.

“Whilst INTOSOL expands both in our home market and into new markets, our focus remains the same – to provide clients with a dedicated service, designing bespoke, one-off travel experiences. In line with this, we are bolstering our team of private travel designers to support our growing client base currently standing at over 15,000. Our growth strategy is underpinned by strong market fundamentals for high-end tourism and we are encouraged to note the proposed $3.2billion acquisition of hotel group Belmond by LVMH, the world’s largest luxury group by revenues, which highlights the potential of this market.

“I’d like to take this opportunity to thank staff and shareholders for their continued support during the year and I look forward to updating the market on several exciting new travel experiences that are in the pipeline for 2019.”

Development of the SOUL Private Collection

In line with its strategy focused on building its portfolio of owned and managed boutique hotels, the SOUL Private Collection www.soulprivatecollection.com, the Company has signed a two year contract to manage a luxury hotel based in Cape Town, SOUL on Llandudno, www.soulonllandudno.co.za.

SOUL on Llandudno has six spacious suites, all with impressive ocean views, and is situated high above Llandudno Beach, considered one of Cape Town’s best beaches and top surfing spots. It is perfectly located for exploring Cape Town’s attractions being close to Camps Bay, Table Mountain and the Waterfront. Guests receive high-end service in line with the SOUL Private Collection ethos, with up to three members of staff for every guest.

Under the terms of the two-year management contract, INTOSOL will earn 35% commission on revenue generated, with the seller maintaining any profit. Furthermore, INTOSOL has an option to buy SOUL on Llandudno for ZAR 28 million, with any profits paid to the seller deducted from the purchase price. Follow this link to view the Property’s marketing video: https://bit.ly/2zSeDOP.

This is the sixth property within INTOSOL’s portfolio, which continues to generate robust revenues and margins. As reported 14 November 2018, its flagship property, Oceans Wilderness, generated revenue of ZAR 5,297,624 on an 83.7% gross margin and 42.6% pre-tax profit margin, significantly ahead of internal expectations. This is in line with the steady growth trend within the high-end tourism sector and underpins the Company’s business model of providing travel design to its growing client base, which currently stands at +15,000.

**ENDS**

For further information on INTOSOL visit the Company’s website www.intosolholdingsplc.com or contact:

Notes

INTOSOL Holdings PLC is a London listed international luxury travel company that merges private travel design with hotel management and property ownership to provide bespoke, high-end global travel experiences across the world. Its profitable private design business which blends personal contact with proprietary technology, VIRTOSOL, already services a growing client base of over 15,000 and the Company is focussed on further expansion into English-speaking markets. To increase margin and asset backing, it is building its SOUL Private Collection of leased and owned boutique properties. In line with this, it is in the process of purchasing and developing a number of sites in South Africa including Oceans Wilderness, a luxury nine-bedroom boutique hotel in the Garden Route and a commercial safari lodge in the renowned Leadwood Big Game Estate, one of the premier places to see the Big 5.

The luxury travel market continues to grow and tends to be immune to economic fluctuations, with high-end customers favouring bespoke and exclusive experiences regardless of the greater economic climate. INTOSOL is ideally positioned to capitalise on this trend and execute its growth strategy to become a leading bespoke travel company with an international client base, a global experience portfolio and a range of high-end properties across the world providing high margin revenue and asset backing.