PPHE Hotel Group is likely to make a large number of redundancies in the UK in the wake of mass closures across its portfolio during the pandemic.
It said: “It is possible that a large number of redundancies may be necessary in the UK region to ensure the group’s operational structure is fit for purpose and accords with guest demand for the short to medium term.”
The group said it would seek to preserve cash for long-term growth.
President and chief executive Boris Ivesha said: “We are continuing to adapt to the unprecedented environment.
“As the impact of Covid-19 begins to ease and restrictions are lifted, our focus now turns to gradually reopening our properties, creating growth opportunities and continuing to take active steps to maintain our financial position during periods of partial operations.”
PPHE has said it is to reopen hotels in Croatia, with Germany and Hungary operations continuing. It expects to reopen selected buildings in the Netherlands this month, with the UK to follow in July.
It has also completed a £180m funding deal for its Hoxton development Art’otel London Hoxton, with a facility agreed in April that matures in 2024.
The business will contribute the remaining finance using group equity for the £200m east London development, which is at the early stages of construction.
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