After most of the real estate assets of the Rimonim Hotel chain were acquired by the Dan Hotels chain, the Olive Hotels chain, which operates 16 hotels throughout Israel, has acquired the Rimonim Hotels brand name from Israel Land Development Hotels.
The acquisition comes as part of the strategic process that the Olive chain has been undergoing in the past few months. The Group has been joined by Thor Rosenberg, formerly of the Origo Fund, an expert in private equity investment, increasing value, and raising capital. Olive, under its new management structure, plans to operate new hotels under the Rimonim brand.
The Rimonim Hotels chain was founded in Israel in the early 1960s and is one of the longest-established and best known brands in the country, according to an extensive survey by the Geocartography Institute, which was carried out last year. The survey, which questioned a representative sample of Israel's Jewish population, regarding awareness about hotel chains and brands in Israel, found that the Rimonim Hotels chain brand was in second place alongside Fattal Hotels and Crowne Plaza Hotels (in first place was Dan Hotels and Isrotel Hotels). The survey also ranked Rimonim in third place as the preferred hotel chain for a vacation in Israel among those who had previously been guests in one of the country's hotel chains. Other data also attested to the strength of the brand.
According to Olive Hotels owner Amit Porat, in the coming weeks the chain will already open new hotels under the Rimonim Hotels brand
He said, "It is a privilege for us to continue such a well-established and esteemed Zionist brand and it is without doubt a significant step for the Olive Hotels chain. The deal gives the chain the most major marketing tools and will increase its exposure and become part of Olive and Rimonim's growth process in the coming years. Combining the known and loved 'Rimonim' brand, in which so many millions have been invested over the years, with the 'Olive' brand represents for us a step us in Israel's hotels market."
"The plan is to return the Rimonim chain to its full and splendid size and bring it back to previous size and value and perhaps even bigger than before. We will provide hundreds of thousands of our guests the best service in large and hotels and at the same time to continue operating the Olive chain, which specializes in boutique hotels and smaller hotels in the countryside."
Thor Rosenberg, the new Chairman of the Board said, "Olive is a hotel chain, which is growing impressively in recent years and leads in the technology field with advanced developments. The deal to buy the Rimonim brand comes as part of a broad strategic plan in which we have invested major resources in the financial, manpower, operations and financing sectors. It is our intention to work in the coming period to examine the acquisition and construction of new hotels under the Rimonim brand. Ultimately the Olive brand and the Rimonim brand will become the leading hotel brands in their fields."
The Olive Hotels chain, which is owned by businessman Amit Porat, began operations in 2010 as a management chain for rural guest houses in the tourist regions of the Galilee countryside. In 2016, the Olive in the City brand was also founded, as part of the chain's range of boutique hotel operations from Tel Aviv to the north including family leisure villages, chalets and lodges in the Kinneret and throughout the north. Its hotels are divided according to categories with different selections under the brand 'the freedom to choose,' in which guests can choose between different types of vacations according to their needs - boutique hotels, vacations in the country, luxury hotels and hotels offering a city vacation.
Among the locations - Aqueduct Regba in the Western Galilee; the luxury Olive Hotel in the Gilboa, which was opened on the Gilboa ski site; boutique hotels in Safed and the Upper Galilee; two leisure villages on the banks of the Kinneret (Sea of Galilee), city vacation hotels in Tel Aviv and other places.
Published by Globes, Israel business news - en.globes.co.il - on May 27, 2019
© Copyright of Globes Publisher Itonut (1983) Ltd. 2019