Datapulse Acquires a 15 Per Cent Stake in Holiday Inn Express Euljiro Hotel for KRW8.6 Billion in Seoul

Singapore-based Datapulse Technology’s indirect subsidiary KPH Top (“KPH”), has entered into a joint venture deal with Malaysia-based Bizcentre Capital (“Bizcentre”) to acquire Korea Investment Private Placement Business Hotel Real Estate Investment Trust (“REF Trust”), which also owns Holiday Inn Express Euljiro Hotel, for a total of KRW59 billion (SGD69.3 million). KPH will acquire 15 per cent stake for KRW8.6 billion (SGD10.2 million), while Bizcentre will acquire the remaining 85 per cent stake. Strategically located between popular retail and shopping districts Myeongdong and Dongdaemen, the 224-key freehold property is also within walking distance to commercial properties in the Euljiro business districts. The hotel is currently operated by a local hotel operator under the Holiday Inn Express brand through a franchise agreement. Upon the completion of acquisition, it will be converted into a full hotel management agreement. The deal will be fully funded by internal resources and is expected to complete by June 21, 2019.

STB Partners Alibaba Group and Traveloka to Attract Chinese and Southeast Asian Markets

In an effort to woo more China and Southeast Asian visitors, Singapore Tourism Board (“STB”) has announced two strategic partnerships with China-based multinational conglomerate, Alibaba Group (“Alibaba”) and Indonesia-based technology unicorn company, Traveloka. The three-year memorandum of understanding with Alibaba will involve co-developing joint marketing campaigns and content, collaborating on inbound Chinese traveller analytics, and creating more seamless tourism experiences in Singapore. The collaboration also opens up new opportunities to engage Chinese travellers throughout the consumer journey and gain insights into their travelling behaviour through working with Alibaba’s businesses, such as Alipay, Fliggy, Youku, Damai and Alibaba Cloud. The Memorandum of Cooperation (“MoC”) with Traveloka seeks to promote the city as a preferred destination for visitors from five major Southeast Asian markets including Indonesia, Malaysia, the Philippines, Thailand and Vietnam. The MoC will cover three broad areas namely information sharing, marketing campaigns and content generation. Traveloka has recently raised USD420 million in a funding round led by Singapore-based sovereign wealth fund, GIC Private Limited. 

Korean Air Commences Boston Direct Service to Asia

Flag Carrier of South Korea, Korean Air Lines Co., Ltd. (“Korean Air”), in joint venture with American airline Delta Air Lines (“Delta”), has launched a new direct service connecting Boston and Seoul. The Boston-Seoul service will operate five times a week on Korean Air’s new 787-9 Dreamliner aircraft with six First Class sleeper suites, 18 Prestige business class suites, and 245 seats in economy class. According to Korean Air’s Vice President of Marketing, John Jackson, Korean Air is the largest Transpacific airline and adding an Asia flight will help Delta solidify their position as Boston’s number one global airline. Massport Acting CEO John Pranckevicius also stated that the new service will promote tourism and bridges a gap in the growing global economy. Since both Korean Air and Delta launched their partnership in May 2018, there have been three new services added. Korean Air added the new Boston-Seoul service, while Delta has previously added the Minneapolis/St. Paul-Seoul and Seattle-Osaka services.

Bintan Resorts Unveils New Development Plans

Singapore-based Bintan Resorts International Pte Ltd (“BRI”) and Indonesia-based PT. Bintan Resort Cakrawala (“BRC”), have unveiled new development plans for Bintan Resorts, an integrated beach resort destination on the northern coast of Bintan Island, Indonesia. The plan will double the destination’s 2000-room count inventory by 2021 and triple its visitor numbers by 2023. Upcoming attractions include 104-key Doulos Phos, The Ship Hotel (opening June 2019), Treasure Bay Bintan Organic Farm (opening Q2 2019), a glamping tepee-style tent hotel (opening Q2 2019) which will open with 40 keys and expand to hold a total of 100 keys, a 2.8-hectare Marine Life Discovery Park (opening Q4 2019), and Chiva-Som Resort and Wellness Centre (opening Q3 2022) amongst other hotels. Supporting the destination’s growth will be the new Bintan airport, a partnership between Sriwijaya Air and BRI’s and BRC’s parent company, Gallant Venture (an investment holding company). The airport, which is currently under construction, is expected to be operational in 2020 and will feature a 3-kilometre-long runway suitable for widebody airplanes. According to Gallant Venture, Garuda Indonesia, Sriwijaya Air, and Lion Air will be flying to the new airport while talks are ongoing with other airlines such as Korean Air. Bintan Resorts is a 18,000 hectares development which was founded in 1990 as a collaborative initiative between the Governments of Singapore and Indonesia.

Brisbane’s New International Cruise Terminal Set to Launch

Brisbane has commenced construction of the new AUD158 million (USD 112.9 million) Brisbane International Cruise Terminal on the north side of the Brisbane River, in Queensland, Australia. Slated to open in October 2020, the new facility will be Queensland’s first dedicated mega-cruise ship terminal. The terminal building will be approximately 9,300 square metres, set over two levels and connected to a 200-metre-long wharf, with two air bridges facilitating the movement of passengers. It will also feature public open spaces, parking space, and an extensive landscaping across the site. The cruise terminal is expected to handle over 1,100 vessel calls and around 1.8 million passengers within its first five years. Tourism Industry Development Minister, Kate Jones, mentioned that the Brisbane International Cruise Terminal would provide a boost to the tourism sector. More than 180 bookings have been confirmed for the 2020/21 cruising season.

Absolute Share Price Performance, as on 26 April 2019