Laguna Phuket sells Dusit Thani for THB2.6 billion

After deliberation from its board of directors, Laguna Resorts and Hotels in Phuket, Thailand has sold the Dusit Thani Laguna Phuket Hotel on its property for THB2.6 billion (US$81.3 million). The buyer is none other than Dusit Thani Ltd, which was the successful bidder in a closed bid tender.

The Dusit Thani Laguna Phuket is a 226-room 5-star luxury hotel on six contiguous land plots totaling 33.66 rai. Facilities include six restaurants, four conference rooms, a business centre, spa, swimming pool, and fitness centre.

In details released to the Stock Exchange of Thailand, Laguna Resorts and Hotels (LRH) revealed that it planned to use the proceeds from the sale to invest in a property outside of Thailand, repay bank loans, and/or pay dividends. The overseas investment is aimed at reducing the amount of interest LRH has in Phuket which currently forms the majority of its income. In 2009, 82% of LRH’s revenue came from its operations in Phuket.

(...) The sale must still be approved by LRH’s shareholders at a meeting that will take place September 29, 2010. If that happens the transaction is expected to be completed on November 30, 2010 and no later than December 30, 2010.