There are currently no plans for an IPO by Apple Leisure Group (ALG), the company’s executive chairman, Alex Zozaya, said during a panel at the recent Golden Apple Gala in Chicago as part of a larger update on the latest from the company.
Typically an initial public offering, or IPO, is when a company raises capital by selling shares to institutional and, often, retail investors, on a public stock exchange. After an IPO, these shares can be traded on the open market.
Zozaya explained that there had been speculation of an IPO following the hiring of the company’s new CEO, Alejandro Reynal, who Zozaya said has experience leading a company to an IPO as well as running a public company. Reynal has taken over the CEO role from Zozaya, who is now serving as the company’s executive chairman and leading its board of directors.
“There’s been rumors of an imminent IPO, but that might very well not be the case,” Zozaya said. “Going public is just one alternative. People had been speculating that, with the arrival of Alejandro, who has experience with an IPO and leading a public company, we might, but we’re not ready.”
Zozaya said that the company’s number one priority has been the ongoing integration with The Mark Travel Corporation following last year’s mega-merger between the two, which he described as a major operation. He reassured the audience of travel agents and media that investment in the travel agency channel would remain a priority throughout the process.
“We’re investing a lot of money into technology and putting a lot of money into the B2B channel, in travel agents,” Zozaya said. “We’re putting a lot of resources into learning processes and loyalty programs for travel agents.”
Zozaya then gave a number of other updates on the latest happenings at the company, including ALG subsidiary AMResorts’ expansion – particularly in Europe. He said that Europe, which is the newest region for AMResorts, is very important to the company's ongoing expansion strategy.
“We just started with hotels in the Balearics and Canaries, and we’re looking at other places like Portugal, Greece and Turkey,” Zozaya said.
In Mexico, Zozaya said that between now and the end of the year AMResorts is opening the Now Emerald Cancun in the Hotel Zone, as well as the new Sunscape Akumal near Puerto Morelos. The company is also building a new Breathless property in Cancun’s Hotel Zone, as well as a Dreams and a Secrets resort in Punta Mita in the Riviera Nayarit.
In the Caribbean, construction is underway on the new Dreams Macao Beach Punta Cana, and the new Secrets St. Martin Resort & Spa is scheduled to open in February or the beginning of March of next year. AMResorts is also building new Dreams and Zoetry properties in St. Lucia.