BUSINESS

Club Hotel Loutraki to be sold

By Vangelis Mandravelis

Club Hotel Loutraki (CHL) will be put up for sale by its Israeli owners, as Queenco-Leisure International Ltd and Club Hotel Investments have announced that their agreement to resolve their differences provides for the joint sale of CHL’s activities. Besides a casino at Loutraki near Corinth, they also include another casino based in Belgrade, Serbia.

The joint statement reads that the two parties intend to sell the assets of CHL within the next 15 months. In addition to making the highest bid, the preferred investor will not be allowed to be in any way connected, directly or indirectly, to the two main shareholders of CHL.

Club Hotel Loutraki officials made no secret on Thursday of the owners’ intention to sell the casino but refuted that the company’s manager, Nikos Remandas, will be changed as a result of the agreement between the two stakeholders. They added that in the context of the company’s restructuring and rationalization of its activities, it will offer a voluntary exit program to employees.

The owners also agreed on a cash injection for CHL to continue operating until it is sold. The deal provides for 6.8 million euros to be borrowed, which will be disbursed in the next few days.

The above coincides with pressure from the Greek government for the payment of taxes owed by CHL that exceed 40 million euros. A payment plan was recently agreed, but has not been adhered to by the enterprise.

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