Splendid Hospitality Group secures £232m club loan

Splendid Hospitality Group has secured a £232m club loan from HSBC and OakNorth bank to support future developments across its portfolio.

The hotel group was founded over 30 years ago and has since grown to 24 properties ranging from independent hotels to sites operated under brands such as IHG, Marriott, Accor and Hilton.

The hotels are spread across London to Edinburgh and cover all markets between economy and luxury.

The loan will support future development works, including the 76-bedroom extension of Hilton London Bankside in London’s Southwark, which currently has 292 rooms.

Nadeem Boghani, vice chairman at Splendid Hospitality Group, said: “We are incredibly fortunate to operate hotels across the UK, with over seven different brands, as well as independent hotels.

"With the support of OakNorth and HSBC, we’ll be able to continue delivering the exceptional service and quality, as well as the extraordinary experiences our guests have come to know us for over the decades.”

Ben Barbanel, head of debt finance at OakNorth, added: "This transaction was very exciting not only because it gave us the opportunity to support this incredibly strong family-business, but also because it is the largest club deal we’ve ever participated in."

Digital bank OakNorth has lent over £10b to businesses since it was launched in 2015. It has backed hospitality companies including Z Hotels, Inception Group and the Beaverbrook hotel in Surrey.