ASMALLWORLD Completes Acquisition of 10% Stake in Global Hotel Alliance

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ASMALLWORLD AG / Keyword(s): Alliance

07-Apr-2022 / 17:54 CET/CEST
Publication of an ad hoc announcement pursuant to Art. 53LR
The issuer is solely responsible for the content of this announcement.

ASMALLWORLD Completes Acquisition of 10% Stake in Global Hotel Alliance

Zurich, 07.04.2022 – ASMALLWORLD has successfully completed the acquisition of a 10% stake in Global Hotel Alliance. Through this strategic investment in the world’s largest alliance of independent hotel brands, the company is securing new revenue streams and access to more than 750 hotels and more than 20 million guests.

Today, ASMALLWORLD AG has successfully completed the acquisition of a 10% stake in Global Hotel Alliance (GHA). The companies announced this strategic investment at the end of December 2021.

Of the total purchase price of $4.5 million, ASMALLWORLD AG paid the full cash portion of $3.5 million today and in return received a 10% stake in Global Hotel Alliance . A stock payment amounting to a 3% stake in ASMALLWORLD AG is still pending. Management expects ASMALLWORLD to create new shares from the authorized capital, which will be voted on by shareholders at the annual general meeting on April 29. If the shareholders approve this proposal, the issuance of these shares, excluding the preferential subscription right of all other shareholders, should take place in May 2022.

“With the closing of this transaction, we can now focus on the execution of this strategic collaboration, which should have a significant impact on our growth and profitability in the future”, commented Jan Luescher, CEO of ASMALLWORLD .

ASMALLWORLD will receive a seat on the GHA board in June

Both companies are expected to be represented on their respective boards. ASMALLWORLD CEO, Jan Luescher, will serve on the GHA board from June 2022. On the other hand, ASMALLWORLD shareholders will vote on April 29, 2022 to decide whether to elect GHA CEO, Chris Hartley , to the ASMALLWORLD Board of Directors.

Significant potential to accelerate the growth of the ASMALLWORLD community

In the future, ASMALLWORLD will support GHA’s hotel loyalty program GHA DISCOVERY by providing its services to GHA’s most important customers. As part of this partnership, GHA DISCOVERY will be able to offer its elite members (those who have reached the highest levels of membership) free access to the ASMALLWORLD social network. This will allow elite members of GHA DISCOVERY to enjoy all the benefits of the ASMALLWORLD travel and lifestyle network, which is expected to increase customer engagement, ultimately leading to increased hotel bookings for hotels in the covenant. Under the terms of the partnership, both parties are incentivized to grow the revenue base of the other. ASMALLWORLD expects new customers from this partnership to significantly expand the size of the ASMALLWORLD community.

GHA DISCOVERY – a hotel loyalty program with over 20 million customers

When NH Hotel Group joins the alliance in 2022, GHA will be a network of 40 independent hotel chains with more than 800 hotels in 100 countries, sharing a common loyalty platform. GHA DISCOVERY hotels include internationally renowned luxury brands such as Kempinski, Anantara, Corinthia, Pan Pacific, Capella and Nikki Beach. GHA DISCOVERY is the world’s largest loyalty program for independent hotel brands. When NH Hotels Group merges its NH Rewards loyalty program with GHA DISCOVERY in mid-2022, GHA DISCOVERY will have over 20 million members.

The GHA DISCOVERY program allows members to collect and spend rewards across the GHA hotel network. Depending on the number of stays, nights or spend per year, members can also achieve one of multiple status levels, which provide additional hotel benefits such as room upgrades and faster earning of rewards.

Initially, ASMALLWORLD will provide access to its services to elite members of GHA DISCOVERY and support GHA in delivering the program. The companies will also offer additional ASMALLWORLD products and services to all GHA DISCOVERY customers.

‘ASMALLWORLD Hotels & Resorts’ will be added to the GHA DISCOVERY brand portfolio as a new hotel brand

The two companies will also work together to expand GHA’s hotel portfolio. As part of this agreement, ASMALLWORLD has been given the mandate to recruit independent hotels for GHA, and the brand “ASMALLWORLD Hotels & Resorts” will be added to the portfolio of hotel brands of GHA DISCOVERY as a soft brand. In the future, newly recruited independent hotels will then be able to join the GHA hotel network under the ASMALLWORLD Hotels & Resorts brand.

Until now, GHA generally did not offer independent individual hotels the opportunity to join its network, as it mainly served hotel chains. The cooperation with ASMALLWORLD fills this gap and offers the possibility for independent individual hotels to join the network.

The transaction opens up significant new revenue streams for ASMALLWORLD

The strengthened partnership and strategic investment open up multiple new revenue streams for ASMALLWORLD. Most importantly, the company will be rewarded on the expenses generated by members who sign up under the partnership. Additionally, ASMALLWORLD will have the ability to sell additional products and services to this valuable group of customers, once they become part of the ASMALLWORLD social network. GHA and ASMALLWORLD also plan to offer various ASMALLWORLD products to the more than 20 million non-elite members of GHA DISCOVERY, which will create additional sales from GHA’s large member base. With these new sources of revenue and its participation in the future growth of GHA, this investment should significantly increase ASMALLWORLD’s revenue potential over the next few years and further accelerate its profitable growth.

This press release and other information are available at www.asmallworldag.com.

About Global Hotel Alliance (GHA)

Global Hotel Alliance (GHA) brings together a unique collection of independent hotel brands with GHA DISCOVERY, a multi-brand loyalty program built on a shared technology platform. By joining GHA, brands expand their global reach, generate additional revenue and reduce reliance on third-party channels, while maintaining management independence and individual positioning. GHA represents a collection of 35 brands with more than 500 hotels in 85 countries serving 11 million members. The award-winning GHA DISCOVERY program generates approximately $2 billion in revenue and more than eight million room nights annually. GHA brands currently include Anantara, Araiya, Avani, Campbell Gray, Capella, Corinthia, Discovery Destinations, Divani, Doyle, Elewana, Fauchon, GLO, JA Resorts, Kempinski, Leela, Lungarno, Marco Polo, Mysk, Niccolo, Nikki Beach , NUO , Oaks, Outrigger, Pan Pacific, PARKROYAL COLLECTION, PARKROYAL, Patina, The Residence by Cenizaro, Shaza, Sukhothai, Sun International, Tivoli, Ultratravel Collection and Viceroy.

For more information visit www.globalhotelalliance.com

About GHA DISCOVERY

Launched in 2010, GHA DISCOVERY is the world’s largest loyalty program for independent hotel brands, with more than 500 hotels, resorts and palaces across 35 brands. Members enjoy VIP recognition, thoughtful benefits and generous rewards at home or away. Recently, the program has evolved to include an additional tier and flexible paths to upgrade to nights/stays, qualifying purchases, or number of brands stayed, making it easier and faster for members to achieve membership status. elite. Unlike more traditional programs, GHA DISCOVERY does not require members to count points for their next upgrade. Instead, members earn and spend DISCOVERY dollars (D$), an exclusive rewards currency. They also enjoy member-only experiences hosted by each hotel and have access to properties close to home, without a stay, through local members-only offers.

For more information visit www.ghdiscovery.com

The ASMALLWORLD group

ASMALLWORLD is the world’s leading experience-driven travel and lifestyle community: the modern definition of luxury.

Centered around the ASMALLWORLD social network, the company operates a digital travel and lifestyle ecosystem that empowers and inspires members to travel better, live more and make new connections.

Members of the ASMALLWORLD social network connect through its app and website, where they can meet other members, participate in online discussions, receive travel and lifestyle inspiration, and enjoy a multitude of travel privileges.

Members also meet in person at more than 1,000 global ASMALLWORLD events each year, ranging from informal get-togethers in major cities around the world, access to exclusive launches, shows, galas, parties, exhibitions, major global sporting events and larger flagships. weekend experiences hosted in iconic destinations such as Saint-Tropez and Gstaad.

Other activities in the ASMALLWORLD travel and lifestyle ecosystem include:

ASMALLWORLD Collectiona premium online hotel booking engine focused on the world’s most admired hotels, offering the unique “ASMALLWORLD Preferred Rate” that allows customers to enjoy exclusive travel benefits at no additional cost

ASMALLWORLD Privatea high-end travel agency offering a personalized travel curation service

ASW Hospitalitya hotel management company that operates and manages the iconic North Island resort in the Seychelles

First class and abovea subscription-based smart luxury travel service that allows members to enjoy luxury travel at insider prices

The best clubs in the worldthe world’s leading nightlife concierge offers its members VIP access to the world’s most exclusive nightlife venues

For more information, please visit:

www.asmallworldag.com

www.asw.com

www.asmallworldcollection.com

www.asmallworldprivate.com

www.first-class-and-more.de

www.première-classe-et-plus.com

www.finestclubs.com

www.asmallworldhospitality.com

www.north-island.com

Contact:

ASMALLWORLD SA
Jan V. Luescher, CEO
Seidengasse 20
8001 Zurich
Swiss
[email protected]

Warning

The statements contained in this press release may constitute “forward-looking statements”. This can be identified, for example, by the use of the words “may”, “will”, “should”, “plan”, “expect”, “anticipate”, “estimate”, “believe”, ” intends”, “project”, “target”, “seek” or “aim” or the negative of such words or comparable expressions.

Forward-looking statements involve a number of known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the issuer or its industry are materially different from the results, levels of activity, performance or achievements expressed or implied by such forward-looking statements.

The issuer undertakes no obligation to publicly update or revise any forward-looking statements contained herein, whether as a result of new information, future events or otherwise.

Additional Features:

File: Closing GHA_EN

End of the ad hoc announcement

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