Our Business Models

RG-IHG™ – Your P&L Leader

3 CONTINENTS – 5 HOTELS – 9 HOTEL BRANDS – 3 WAYS TO PARTNER

RG-IHG™ is a young dynamic hotel operator focused on Revenue & Profitability Development with no compromise on the quality delivered to the Customers. The group has already a portfolio of more 5 hotels in operation or under development with over 300 rooms.

Our business is cash-generative, and we have three primary uses for this cash: Invest in the business to drive growth; maintain sustainable growth in the ordinary dividend; and return surplus funds to shareholders.

We know what it takes to deliver a strong return on investment, and the importance of profitability that will make your business a success. We are focused on winning through our strong portfolio of hotel Brands; our talented People who demonstrate our brand promise and bring our brands to life, and a strong commitment to act responsibly in everything we do.

RG-IHG believes independent hotel owners that unite to promote their properties can increase profitability. Our members maintain their independence while locking in all the same advantages of the world’s largest hotels and resorts affiliation, including:

  • The most competitive fees among leading operators
  • A fee structure that lets owners keep more of their revenue
  • Shorter contract terms than the industry norm
  • A powerful global brand backed by powerful, full-service support
  • A voice in day-to-day initiatives and future direction of the company
  • Global, national and regional marketing services

FINANCIAL TARGETS

Profitability target

EBITDA margin of a minimum of 12% over a business cycle

Balance sheet

Positive average net cash position

Dividend policy

Approximately one third of annual after-tax income to be distributed to shareholders

Fees and Revenue

We operate hotels in three different ways – as a franchisor, a manager or as a Sales & Marketing Distributor. We focus on all the segments of the hotel industry and have a targeted portfolio of brands individually tailored to meet guests’ needs and occasions.

Today’s RG-IHG™ drives revenue and profits through a powerful and proven core business model that is constantly evolving to meet the needs of business and leisure travelers worldwide.

RG-IHG™ today boasts a RevPAR index that outperforms the industry. Our fees are low by industry standards – about one-third to one-half of the hotel franchise fees of other major chains. Our concept assures member-owners’ entrepreneurial independence, and the democratic freedom to determine the organization’s strategic growth. Our fees are tied to the number of rooms on property, not to a percentage of gross room revenue.

Fees average 7% – 12% less than their compset and bring more to your bottom line

Our latest RevPAR Index*

North America 118 Europe 175 Asia 120

*As of November 30, 2017, in US Dollars

For more information about RG-IHG™, please contact our Development Team at the following email address:

APAC : development.apac@rg-ihg.com  AMERICA : development.america@rg-ihg.com  AFRICA : development.africa@rg-ihg.com  EUROPE : development.europe@rg-ihg.com

Each branded hotel is independently owned. All marks are Trade Marks of Asian Phoenix Hotel Management Co. Ltd. Numbers are approximate, may fluctuate and include hotels currently in the development pipeline.

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