Softlogic Plans a City Hotel in Colombo with Moevenpick Hotels

21st November 2010, www.sundaytimes.lk

The Softlogic Group sealed a deal with Swiss-based Moevenpick Hotels and Resorts on dnesday to manage a city hotel that is to be built by Softlogic in Colombo in the next three years, Softlogic officials said.

“We signed a management agreement with Moevenpick on Wednesday in Dubai (at their regional head office) to manage a hotel we’ll be building in Colombo,” Ashok Pathirage, Chairman Softlogic told the Business Times.

He said the 5-star hotel they’ll be building will be located next to the Colpetty shopping mall, Liberty Plaza, in a 90-perch land. He said the estimated cost to build this hotel is some US$ 25 million.

“It’ll be a 200-room hotel built to Moevenpick standards and we plan to complete it within two and a half years,” he said.

Mr. Pathirage said that Softlogic has requested necessary approvals from state authorities and no sooner this is finalised, Softlogic plans to start construction. “It will be in about two to three months,” he added.

Softlogic also emerged as the highest bidder with Rs 925 million amongst 28 bidders for the Ceylinco Group-related Hotel Ceysands, whose sale was suspended pending the Supreme Court order on modalities of the Golden Key Special Purpose Vehicle Company Ltd.

Mr. Pathirage said the Initial Public Offering (IPO) that Softlogic has planned will go on board by March next year but declined to comment on the amount.