News for the Hospitality Executive
Rim Hospitality Enters a Joint Venture with Tepic Management
Forms Rim Hospitality Canada to Manage 9 Properties in
British Columbia and Alberta
|MODESTO, Calif. and VANCOUVER, B.C., Canada - September
26, 2007 - Rim Hospitality today announced it has entered a joint venture
with Tepic Management Group and has acquired Tepic's hotel management assets
in the process. Additionally, Rim and Tepic's owners have formed Rim Hospitality
Canada, Inc., a Canada-based joint venture with $200 million in hotel management
The agreement is a multimillion-dollar cash and stock transaction, with a debt carry-back provision by Tepic as Rim is not acquiring any of the debts of Tepic or Tepic's owners. Additional financial details were not disclosed.
Through these actions, Rim has joined the ranks of international hotel management companies and has also become one of the largest hotel management companies in Canada.
"Acquiring the assets of Tepic Management Group and partnering with Tepic's owners (Tom Matthews and Ellen Walker-Matthews) to form Rim Hospitality Canada are great opportunities for us," said Mark Burden, president and CEO of Rim Hospitality. "Not only do we open the doors of Rim Hospitality Canada with more than $200 million in hotel management assets, but to do so with Tom and Ellen as part of the Rim team leading our Canadian joint venture - that's awesome.
"Additionally, Rim has now entered the hotel condo market (also known as the 'strata hotel' market), which we see as another vehicle for us as we move Rim forward. Taken in concert, this is a very big day for all of us in the Rim family."
Rim Hospitality Canada currently has nine properties under management (based in either British Columbia or Alberta in western Canada), representing more than 1,000 rooms. These include
Tom Matthews has more than 28 years experience in the hotel, hospitality and tourism industry in Canada and the U.S., including 20 years in total with Westin, Four Seasons and Delta.
New Acquisition Strategy for Rim Unveiled
By acquiring the hotel management assets of Tepic Management Group, Rim Hospitality enters a new phase in its 24-year history.
"Overnight we have transformed Rim Hospitality into a leader in North American hotel management," said Mark LeBlanc, Senior Vice President of Development for Rim Hospitality. "Folding Tom, Ellen and the rest of the Tepic team into Rim is a huge coup for us and will be a great boon to our property partners as well as we all grow and learn from one another's experience and expertise.
"Additionally, we are looking for other hotel management companies that would welcome the prospect of leveraging Rim's strengths with their own. In the meantime, we will continue to help our partners create and manage the best hotels and lodging properties possible, properties that are great assets and deliver great returns for their owners and investors."
About Rim Hospitality
Rim Hospitality Canada
|Also See:||Rim Hospitality Adds 1,411 Rooms, Now Managing 28 Hotels / May 2005|