Minor Hotels is making a significant shift in its business strategy as it sets its sights on expanding its global portfolio.
The hotel owner, operator and investor revealed plans to evolve its strategy, with the change to see a reduction in the percentage of hotels it owns or leases from nearly 70 per cent of its current portfolio of 540 hotels to around 50 per cent.
Minor plans to pursue a mix of management and franchise agreement options, with the group targeting over 150 new management agreements within the next three years - which would grow its share of the overall operating model mix from 19 per cent in 2023 to 38 per cent by 2026 - and is also actively seeking new franchise agreements
This strategic pivot reflects Minor Hotels' adaptation to the evolving hospitality landscape as it explores more flexible and diverse business models, with the change aimed at facilitating its global expansion plans.
By the end of 2026, Minor plans to open around 100 hotels in Asia, 50 properties in Europe and 50 properties in the Middle East.
What they said
Dillip Rajakarier, Group CEO of Minor International and CEO of Minor Hotels said: “2023 has been a record year and the figures, both financial and regarding the group’s expansion, confirm this. Looking ahead, we intend to increase this pace of openings, expanding our brands within our existing areas of operation and growing our global footprint into new regions in which we are not yet present.”