Pandox has said that it expects the collapse of white label operator Revo Group to only have a “limited” impact on its business.
The firm, formerly known as HR Group, filed for insolvency in January. Pandox's exposure to Revo Hospitality Group was limited and consisted of leases in 9 hotel properties with 1,859 rooms in 7 cities in Germany, or approximately 4 per cent of the total number of rooms in its portfolio. The hotels are mainly operated under the Dorint and Mercure brands.
“Yes, it's an ongoing process. The administrator for Revo … in the middle of working with this and negotiating their credit holders. We are convinced that we will -- that this will be a sort of a limited financial impact for us, whether we will sort of continue the leases or whether we'll intermediately take them in their own operations to lease them out afterwards. But we do have bank guarantees. We do have sort of security for this. So we are following it, but it is in process,” Liia Nou, CEO of Pandox said on a Q1 earnings call.