British Hotel Chain Enters Talks to Restructure Billion-Dollar Debt


The Alternative Hotel Group (AHG), the chain behind some of Britain’s most prestigious hotels including Cameron House in Scotland and the De Vere chain, is entering talks about a restructuring of its $2.3 billion debt.

The chain is beginning negotiations with its lender Lloyds Banking Group after the bank appointed the accountants Deloitte to carry out an independent review of the business, amid concerns that AHG would be unable to meet its debt terms.

According to The Times, shareholders, including AHG’s founder, Richard Balfour-Lynn, are unwilling to invest more money into the business. Lloyds is considering a massive debt-for-equity swap, which would wipe out existing investors.

Sources told The Times that the core business is stable but that the debt structure needs to be reorganized due to the drop a slump in demand.

As well as the 42-hotel De Vere chain, AHG also owns Village Hotels & Leisure Clubs and the Greens gym chain.

Read more on:

Suggested Articles:

The new #StopAnimalSelfies campaign encourage travelers to be responsible when photographing wild animals. Get the details here.

The new flights will operate next summer out of Chicago and Denver. Get the details here.

The new pier at Port Zante will allow the port to host up to three of the largest cruise ships in the world. Details here.