Signature Living Hotel ‘to rise from ashes’
The Liverpool-based hotel developer said it has reached an agreement with investors that could see the firm buy back assets placed into administration this year, and intends to open four more hotels “within the next six months”.
In a statement, Signature Living Group chief executive Lawrence Kenwright, said of the hotel holding company, which collapsed into administration in April: “We believe we have secured a deal that protects all areas of the business and its investors.
“We have decided to align ourselves with a group of our investors by creating two new companies that will house a range of assets along with our trading businesses.
“These new companies will also be exploring funding options to buy back those assets that have been placed into administration.”
During the months of lockdown, six of Signature’s hotel assets fell into administration, including the group’s parent company, Signature Living Hotel, for which Duff & Phelps was appointed as administrator.
In June, Duff & Phelps reported that Signature Living Hotel owed £113m to creditors and other group companies.
However, in a deal that is intended to see “some of [the company’s] investor debt turned into longer term loans” the group hopes not only to recover, but to continue expanding.
“We believe now more than ever that the modern-day hotel must deliver so much more than just a bed. We believe our future is now stronger than ever,” Kenwright added in the statement.
A statement from Duff & Phelps said: “The joint administrators are aware of recent press reports linked to the directors of the Signature Living Hotel Group and the ongoing administrations.
“The joint administrators have not been contacted by any party representing investors nor has any proposal been received in relation to the property assets or companies subject to the administrations.”