As Norwegian owned Nordic hotel chain Choice reports huge profits and expansion plans, the biggest Scandinavian hotel Chain, Scandic, once again suffers massive loses in Denmark. Scandic yesterday reported a DKK 84 million loss in its Danish activities, bringing the combined loses since 2008 beyond DKK 250 million. The Swedish parent company inserted another DKK 220 million. Into its Danish hotel company in the beginning of the year, the annual report reveals, according to Danish media.
Whereas Scandic suffers massive losses, its main competitor, Choice Hotels, last week announced a three digit million investment in three major luxury hotels in Copenhagen and Stockholm. 4 star hotels Skt. Petri in Copenhagen and Amaranten in Stockholm will be rebranded as Choice Hotels, together with Copenhagen First Hotel Vesterbro, which is one of the biggest hotels in the Danish capital. All three hotels were acquired from financial troubled First Hotel Group, which by analysts have been considered as being close to bankruptcy for more than a year.
Choice Hotels also revealed its expansion plans last week, and yesterday the group CEO, Thorgeir Silseth, explained to Norwegian media that the ambition is to reach a total of 182 hotels with a total of some 31.000 rooms in the Nordic region by 2015.