FFW advises leading hotel group on major joint venture franchise deal
09 November 2006
Field Fisher Waterhouse LLP (FFW) has advised NYSE listed
hospitality group, Wyndham Worldwide, on a joint venture franchise
agreement that will see the Wyndham Hotel Group and the Corinthia
Group of companies jointly manage hotels throughout Europe, the
Middle East and Africa, under the Wyndham brand and Ramada Plaza
tier. The deal was completed last week.
The joint venture will begin with 20 hotels, which currently
have a revenue of €91 million. Under the terms of the deal, 15
existing Corinthia hotels will be rebranded as Ramada Plaza and
Wyndham hotels. Certain hotels will be affiliated with a new tier,
the Wyndham Grand Collection. Wyndham acquires a 30% stake in
the Corinthia Group’s hotel management company.
According to Wyndham’s press release, the relationship will
expand the Wyndham’s portfolio in Europe, the Middle East and
Africa and is expected to deliver more bookings to Corinthia’s
properties as a result of the integration with Wyndham’s sales,
marketing and distribution systems. The current global revenue of
Wyndham Worldwide is £3.4 billion.
FFW advised Wyndham on the hotel management and hotel development
documentation, corporate and competition issues.
International franchise
partner, Babette
Märzheuser-Wood, led a team of ten FFW lawyers, including
corporate partner Ellen Fleming, competition partner James
Robinson, senior associate Joachim Sander and solicitor Anna
Howard.
FFW’s latest international franchising deal follows toy retailer
Hamleys’ Middle East roll out and reflects the strength of the
firm’s franchising group and its international capability.
FFW has advised a large portfolio of clients on their global roll
outs, including the likes of Monsoon, Yo-Sushi, M&S and
Adams.
Babette
Märzheuser-Wood said: “This joint venture is extremely
significant for Wyndham, and it has been exciting for us to assist
them with this important project. It demonstrates once again
that FFW’s international franchising
practice is going from strength to strength.”
Corinthia was represented by Louis de Gabriele of Camillieri
Preziosi, a leading Maltese law firm.
For further press information, please contact:
Louise Eckersley, PR Manager on 020 7861 4120