PE funds refinance £120m of Jurys Inn loan

British hotel chain Jurys Inn has completed a debt refinancing that will see existing shareholders pump £120m in new equity. 

 The private equity owners of heavily-indebted UK hotel chain Jurys Inn have agreed to inject £120 million ($153 million; 117 million) into the company as part of a refinancing that will pay down debt. 

 The funding has brought down the hotel chain’s net debt to £500 million, the firm confirmed in a statement. It is believed shareholders Oman Investment Fund, Mount Kellett Capital and Avestus Capital Partners worked with lenders IBRC, Ulster Bank and AIB to compete the refinancing.

The firm is now in the process of negotiating a further £250 million refinancing negotiation with its current lenders, John Brennan, chief executive of Dublin-headquartered Jury’s Inn said in a statement.  

“It is a very strong vote of confidence in our business,” said Brennan. “We are especially delighted to have attracted such a prestigious group of long-term, well-capitalised, institutional investors with global experience in the hospitality sector.”