DL Group is selling three Glad hotels to the Government of Singapore Investment Corporation (GIC).
According to investment banking (IB) industry sources on the 11th, DL Group has selected the Government of Singapore Investment Corporation as the preferred negotiator for the sale of three hotels: Glad Yeouido, Glad COEX, and Maison Glad Jeju.
The selling price for these hotels is estimated to be between 600 billion and 700 billion won. Glad Yeouido has 319 rooms, while Glad COEX has 282 rooms. Maison Glad Jeju is a large hotel with a total of 513 rooms.
Earlier, at the end of last year, DL Group received purchase proposals containing prices for these hotels. It is reported that foreign investors, including the Government of Singapore Investment Corporation, Kohlberg Kravis Roberts (KKR), and Blackstone, expressed interest in the acquisition.
Once the sale is completed, DL Group is expected to effectively exit the hotel business. Glad Hotel and Resort, which is rooted in Ora Tourism, became part of DL Group in 1986 along with Samho Group. As of the third quarter of last year, it recorded cumulative revenues of 80.1 billion won, an operating profit of 20 billion won, and a net profit of 14.3 billion won.