Blick in MBO at Finesse Hotels
Finesse Hotels Group has undergone a management buyout and secured a new finance package after being placed into administration. The deal has secured more than 200 jobs at the East Midlands-based boutique hotel group, which owns Nottingham’s Lace Market Hotel; Derby’s Cathedral Quarter Hotel and the Donington Manor Hotel.
James Blick, the new chief executive of Nottingham-headquartered The Finesse Collection, said: "It's been necessary to take decisive action to refinance and resolve issues arising from the company’s debt position as the result of onerous interest rates from an historical interest rate hedging product. This action was essential to secure jobs and provide ongoing commercial viability for the group.’’
Dean Nelson, head of business recovery and insolvency at Smith Cooper, was appointed administrator over the various Finesse Hotels, arranging a sale to a new trading group called The Finesse Collection.
Finesse said the new backing will allow the hotels to be "sensibly financed and prosper". Blick said The Lion Hotel will also continue to operate as part of the Group “for the foreseeable future”.
Blick will retain ownership of the businesses and revealed he has already taken steps to strengthen his team with the appointment of a new managing director, Julian Saunders working alongside Jessica Loukes and Ben Orton as the new board of directors.
Blick added: "With our new management team now on board the group will be in a much better position to move forward with confidence; taking advantage of the opportunities afforded by an injection of new financial support from both our existing lenders, with which we enjoy a sound relationship and some additional private equity.
"It was an important part of the deal that all staff be retained under the new company structure. We are continuing to trade well in a difficult market right now and can look forward to the New Year with renewed optimism. We have further investments planned at all three hotels in Nottingham and Derby and we are looking forward to welcoming new and returning guests during 2012 and beyond."
