Minor to Launch Hotel REIT in Asset-Light Pivot

Key Points

• Minor International plans to launch a hotel REIT in mid-2025 as part of its asset-light strategy, following the delisting of its European hotel business.
• The company has increased profitability and hotel management income, but faces challenges in Thailand due to weak travel demand and ongoing renovations.
• Minor is expanding globally with new hotels in Australia, Peru, the UAE, and a major joint venture in Egypt, now operating 641 hotels across 58 countries.

Summary

Minor International is set to launch a hotel real estate investment trust (REIT) in mid-2025 as it pivots towards an asset-light business model, aiming to unlock value and focus on hotel management rather than ownership. Despite reporting solid profit growth and increased management income, the company faces headwinds in Thailand due to weak travel demand and property renovations. Meanwhile, Minor continues to expand its global hotel network, recently entering new markets such as Australia, Peru, the UAE, and Egypt.