Minor reveals 5-year plan on expansion

SET-listed Minor International Plc, a hospitality and food company, has unveiled a five-year global expansion plan to boost its core hotel, restaurant and retail portfolio as it seeks to capitalise on the strong performance of the tourism industry.

The group is also shifting towards the residential and timeshare sectors to reduce exposure to the commercial sector, said Dillip Rajakarier, chief executive of Minor Hotel Group and chief operating officer of Minor International.

Mr Rajakarier said the group expects to operate more than 250 hotels globally by 2021 — up from 155.

Minor will add more than 268 residences and 285 timeshare units in the same period of time. It will also add more than 1,383, and about 200 retail locations to its holdings.

He said the group is looking to strengthen its overseas portfolio. Minor Hotel expects overseas properties to generate in excess of 68% of total revenue in 2021 — up from 54% in the first quarter of this year.

“Minor Hotel is eyeing Myanmar and Laos for new hotel projects,” Mr Rajakarier said.

While most hotels and resorts will operate under management contracts, the company will also invest in a total of US$100 million (3.4 billion baht) in six hotels over the next 3-4 years.

Minor Hotel operates hotels and resorts in 24 countries in Asia-Pacific, the Middle East, Europe, South America, Africa and the Indian Ocean. These regions will continue to form the backbone of the group’s expansion plan for the next five years.

Moving forward, its top brand, Anantara Hotels and Resorts, will be centred on Asia and the Middle East. Its 123-key Anantara Desaru Resort & Villas will open in 2019 in Malaysia’s Desaru Coast. The Anantara Ubud Resort in Bali, also scheduled for 2019, will feature 70 rooms.

In the Middle East, Anantara will inaugurate the 60-key Anantara Jebel Dhanna Villas in 2019, the-290 key Anantara Dubai Creek in Dubai and 225-key Anantara Mina Al Arab Ras Al Khaimah Resort in 2020.

Minor Hotel is also developing three African resorts, including the 93-room Anantara Tozeur Resort in the southwest of Tunisia, which will begin operations in mid-2018, and the 230-key Al Houara Tangier Resort in northern Morocco, which will open its doors in 2019.

Minor just inaugurated the first Oaks in India, in the northeastern state of Bihar. It will open another 116-room property in India in 2018. Last year, the brand added three properties in Australia, said Mr Dillip.

Minor expects revenue to reach $2 billion by 2021. Last year, the company recorded a revenue of 54.28 billion baht — a 20% increase from 2015.