otus pitch book brochure.pdf · our recent completed m&a deals have included: acting for hbos...
TRANSCRIPT
O T U S
S T R A T E G I C A D V I C E C O R P O R A T E F I N A N C E
H O S P I T A L I T Y T R A V E L T R A N S P O R T
O T U S 2
Why Otus?
W H Y O T U S ?
Otus
“the largest genus of owls is Otus”
Source: Encarta Encyclopaedia
Owl
“Associated with Athene (Minerva) in ancient Greece where it is found on the reverse
of coins bearing her image. From this it became a symbol of wisdom”
Source: Hall’s Dictionary of Subjects & Symbols in Art
O T U S 3
“Wise owls in full flight”
The launch of Otus as reported in The Times on 8 January 2003
O T U S 4
O T U S
T O P – Q U A L I T Y I N D E P E N D E N T
S T R A T E G I C A D V I C E A N D C O R P O R A T E F I N A N C E
F O C U S E D E X C L U S I V E L Y O N T H E
H O S P I T A L I T Y, T R A V E L A N D T R A N S P O R T
I N D U S T R I E S
O T U S 5
S T R I C T L Y P R I V A T E A N D C O N F I D E N T I A L
O T U S & C O
2 0 1 2
O T U S & C O
N o 1 C O R N H I L L • L O N D O N • E C 3 V 3 N D
T E L E P H O N E: + 4 4 ( 0 ) 2 0 3 0 0 8 7 3 1 5 • F A C S I M I L E: + 4 4 ( 0 ) 2 0 3 0 0 8 7 3 1 6
E M A I L : E N Q U I R I E S @ O T U S C O . C O M
O T U S C O R P O R A T E F I N A N C E L L P I S A U T H O R I S E D A N D R E G U L A T E D B Y T H E F I N A N C I A L S E R V I C E S A U T H O R I T Y
O T U S & C O S T R A T E G I C A D V I C E C O R P O R A T E F I N A N C E
H O S P I T A L I T Y T R A V E L T R A N S P O R T
O T U S 6
Contents
Otus – who we are and what we do
1. Strategic advice and corporate finance
2. Hospitality travel and transport
3. Knowledge and experience
4. Adding value to clients
5. Working with clients
6. People and partners
7. Proprietary tools
Appendices
1. Biographies
2. Qualifications and experience
How to contact us
Further information
O T U S 7
Otus – who we are
We have unequalled knowledge, expertise and relationships across our area of industrial focus
We are an experienced team with established careers in the City, industry, consultancy and academia
We have long experience in the strategic analysis of the hospitality, travel and transport industries
We have an unrivalled track record of the key transactions, of all sizes, national and international in our sectors
Our blend of experience in strategic analysis and deal execution is unique
We draw on the expertise of leading individuals in our sectors, working in tandem with Otus
Otus works in partnership with other major institutions in the business and financial communities
We are industry experts and experienced bankers
“It is the province of knowledge to speak and it is the privilege of wisdom to listen”
The Poet at the Breakfast Table (1872), ch.10
Oliver Wendell Holmes 1809-1894
O T U S 8
Otus – what we do
We provide independent, high-level and innovative strategic advice
We offer advice on a full range of corporate finance activities, including mergers and acquisitions, disposals, joint ventures, MBOs/MBIs and financing transactions
Our focus is on three industry sectors: Hospitality, Travel and Transport.
Our clients include companies, capital providers and others in Europe, North America and elsewhere
Hospitality
Travel
Transport
Strategic Advice and Corporate Finance - Hospitality, Travel and Transport
O T U S 9
1.
S T R A T E G I C
A D V I C E
A N D
C O R P O R A T E
F I N A N C E
O T U S 10
Advice on corporate strategies
Advice that is for boards, CEOs and senior managements
Advice that takes in the broad industrial context on a global basis
Advice that considers the long term as well as the short
Advice that takes in the very latest new thinking
Advice on issues that are the milestones in an organisation’s development
We provide advice on high-level issues for senior managements
O T U S 11
Advice on corporate finance transactions
Mergers and acquisitions
Disposals
Joint ventures
MBOs/MBIs
Financings
We advise on and execute a full range of corporate finance transactions
O T U S 12
Advice that is independent
We are independent
Otus & Co is wholly owned by the founders
Our advice is independent
We do not rely on cross-selling other products
We do not rely on follow-on implementation work
We are experts in our fields
We have the capacity to form independent judgements
We are respected by the industrial and financial communities
We are independent and so is our advice
O T U S 13
And much more than advice
We undertake fundamental research in order to be innovative
We are pro-active and bring fresh thinking and new ideas to our clients
We make connections, bringing people together
We aim to challenge and persuade. We can be radical and creative
We can act quickly and respond on a real-time basis
We focus on advice that is practical
We work hard to bring fresh ideas and identify new opportunities
O T U S 14
2.
H O S P I T A L I T Y
T R A V E L
A N D
T R A N S P O R T
O T U S 15
Total focus on hospitality travel and transport
People and things out of their homes or premises on business or pleasure……..
………and on the move by land sea or air
The Hospitality Travel and Transport Industries
Airlines Airports Buses Car rental Catering Cruising
Distribution intermediaries Gaming Health clubs Hotels Logistics Mail Ports
Rail Resorts Restaurants Shipping Tour operators Travel agents
Hospitality Travel Transport
We work exclusively in the Hospitality, Travel and Transport industries
O T U S 16
Top-class expertise
Experience gained in the real world of industry-changing events and transactions
Expertise forged in the real-time, opinion-forming world of management and investment research
Knowledge and understanding grounded on impressive academic backgrounds
Transaction Experience
Management and Research
Academic Grounding
We have unequalled knowledge and expertise in our industrial areas
Hospitality Travel Transport
O T U S 17
Total involvement in our industries
We are members of - and chair - industry committees
We write on strategic and investment issues within the Hospitality, Travel and Transport industries
We are frequently in demand as speakers at industry conferences around the world
We are actively involved in the academic world in relation to the Hospitality, Travel and Transport industries
We have unmatched relationships across the spectrum of Hospitality, Travel and Transport
We have unequalled contacts and relationships across our area of industrial focus
O T U S 18
3.
K N O W L E D G E
A N D
E X P E R I E N C E
O T U S 19
Skills and experience that are broad
A unique blend of different skills and different experience
Strategies Transactions
Analysis Execution
Our experience is broad, combining different skills and different experience
We combine skills in the strategic analysis of companies and industries with skills in the execution of deals for clients
We combine a track record of strategic advice with a track record of the major transactions in the hospitality, travel and transport sectors
O T U S 20
0
1000
2000
3000
4000
5000
6000
7000
8000
Knowledge and experience that are deep
We have decades of “blue chip” experience
Our experience is deep, adding up to decades in the City, industry and academia
Our careers have been with “blue chip” institutions
We have gained in-depth knowledge of the our area of industrial focus over a long period
We have worked through booms and busts, bull and bear markets
O T U S 21
Experience from working with clients
We have an unrivalled track record of involvement in the key deals
Sectors Projects
Airlines Strategy reviews
Hotels Acquisitions
Real Estate Disposals
Restaurants Private Placements
Travel Commercial due diligence
Our clients include:
Carlson Companies, Expedia, GE Real Estate, HBOS, Hilton, Host Hotels and Resorts, Marriott, NH Hoteles, Orient-
Express, Rezidor, Starwood and Whitbread as well as various other listed companies, family and private equity-owned
companies, banks, private equity and real estate funds.
Our recent completed M&A deals have included:
acting for HBOS on the acquisition of David LLoyd Leisure
acting for Whitbread on the acquisition of Golden Tulip in the UK
acting for Whitbread on the acquisition of hotels from The Real Hotel Company
acting for Carlson and Rezidor on the sale of Regent Hotels
O T U S 22
4.
A D D I N G
V A L U E
T O
C L I E NT S
O T U S 23
Adding value in developing strategies
We analyse our sectors at the industry level and monitor trends in supply and demand, performance and industrial structure
We analyse companies in our sectors to place them in their industrial and broader contexts in terms such as brand power and growth prospects
We analyse companies in terms of their business and financial structures so that issues like capital access and risk are better understood
Our analyses provide the foundation for the development of the most effective strategic goals for client businesses
We undertake analyses to enable clients to set strategic goals and advise on how the goals can best be met
We undertake strategic analysis of industries and companies
Business plans
Competitor analysis
Expansion strategies
Geographical reviews
Market analysis
Strategic reviews
Trend analysis
Turnaround strategies
When might we help you?
O T U S 24
Adding value in the development of businesses
We assist clients to more effectively develop their businesses organically
Affiliation structuring
Alliances
Brand infrastructure
Capital structure
Corporate structuring
Government policy
Industry initiatives
Regulatory issues
When might we help you?
We advise on the positioning of client businesses to take best advantage of the medium to long term growth of their industries
We focus, among other high level issues, on strategies to: accelerate organic growth, maximise the value of intangible assets, control demand and manage external threats
We use our knowledge and expertise to map the implications of each option for clients to ensure that their strategic goals are realistic and can be met
Our understanding of the investment community allows us to identify the most effective capital sources and structures
We advise clients on the organic development of their businesses
O T U S 25
Adding value in transactions
Our understanding of sectors enables us to identify the right deal at the right time
We are immersed in our sectors: we spot openings quickly, bringing “first-mover” advantage
Our knowledge and experience means that we can advise on the best approach and the most appropriate structures
We can persuade, articulating the benefits for parties, forming and changing opinions
Our assessments of the industry environment help clients to gain advantage and avoid mistakes
We use our knowledge of our sectors to accelerate deal processes – saving time and money
We advise on the most effective presentation to the investment community to ensure actions translate to value
We work with clients to make effective transactions
Acquisitions
Capital raising
Disposals
IPOs
Joint ventures
LBOs/MBOs
Mergers/demergers
Privatisation
When might we help you?
O T U S 26
5.
W O R K I N G
W I T H
C L I E N TS
O T U S 27
Working closely with clients
We work directly with clients
To ensure a high-level, responsive service
To ensure clients benefit from our experience
To provide creative and innovative advice
To understand the issues our clients face
To ensure an energetic and enthusiastic approach
We nurture long-term relationships through personal, tailored service and continuing dialogue
We work closely with our clients, giving a personal service
O T U S 28
Working flexibly with clients
Otus works flexibly with clients
On long-term assignments
On short projects
On an ongoing basis
On an ad hoc basis
We aim to be flexible and tailor our approach to the client’s needs
O T U S 29
Working with clients and their other advisers
Otus works in partnership with clients and other advisers
Working stand-alone
Working with an internal team
Working with other advisers
Investment banks
Brokers
Lawyers
Accountants
Consultants
IR/PR firms
We co-operate rather than compete with other advisers
O T U S 30
6.
P E O P L E
A N D
P A R T N E R S
O T U S 31
People and partners
Otus Directors Paul Slattery Simon Read Andrew Boshoff Ian Gamse
Otus Special Advisors Richard Atkinson – formerly CEO of Holidaybreak Philippe Bruggisser – formerly CEO of Swissair Richard Carrick – formerly CEO of Hoseasons Remy Gancel – formerly Chairman and CEO of Sophia SA Richard Gooding OBE – formerly CEO of London City Airport Roger Kitley – formerly CEO of BAA International Roger Maynard – formerly Director of British Airways Chris Tarry – Aviation consultant Chris Walton – formerly CFO of easyJet
Otus – bringing together the right skills to meet the client’s needs
Otus
Otus works with leading individuals and major institutions to provide a high value and broad service tailored to the client’s needs
O T U S 32
People and partners
Leading individuals
Otus draws on the expertise of leading individuals in the Hospitality, Travel and Transport industries, working in tandem with Otus
Otus works together with leading individuals in our sectors
Combining skills – finding
areas of common interest
Industry-leading figures
Outstanding reputations
Specialist expertise
Variety of backgrounds
Innovative combinations
Overlapping areas of interest
Seamless service to clients
O T U S 33
Leading individuals
Major institutions
Otus
People and partners
Major institutions
Otus works in partnership with major business and financial institutions
Major business and financial institutions
Variety of types of organisation
Pro-active approach
Complimentary expertise
Developing improved services
Otus works together with other organisations to provide a broader and better service to clients
O T U S 34
6.
P R O P R I E T A R Y
T O O L S
O T U S 35
Otus Hotel Brand Database©
The Otus Hotel Brand Database is the most complete and consistent source for information and analysis on European hotel supply, covering more than 800 brands across 53 countries.
The database began with Paul Slattery’s work at the University of Huddersfield in the early 1980s, work that continued for 15 years in Equity Research and Corporate Finance at Kleinwort Benson and has been further developed since 2002 when he and Simon Read established Otus to provide strategic advice and corporate finance services to the hospitality, travel and transport sectors.
Paul’s original and penetrating analysis of the workings of hotel markets was published in book formin 2009 as The Economic Ascent of the Hotel Business, in which he describes how hotel demand and supply depends not only on the size of an economy but on its structure. Paul’s collaborator in the quantitative analysis of hotel demand, hotel supply and their economic underpinnings is Ian Gamse who joined Otus in 2003.
OHBD - A proprietary database of hotel supply
O T U S 36
Otus Analytics©
The Otus Hotel Brand Database is the most complete and consistent source for information and analysis on European hotel supply, covering more than 800 brands across the continent. For the first time, Otus, in association with Hotel Analyst, is publishing comprehensive reports on the European market, offering owners, operators, investors and advisors a unique picture of both the general shape of the European and individual country markets and a wealth of information on brands, from the largest to the smallest.
The patterns of European hotel supply are not only complex and fragmented, but also reflect the complex and fragmented patterns of hotel demand, which in turn reflect the structural balance and economic policies of each country. In making available ready-to-use statistical reports on hotel supply, soon to be followed by further reports that incorporate the volumes and sources of hotel demand and economic structure as well as more supply analyses including market share and replacement costs, Otus continues to undertake more extensive and interpretative strategic analyses for hotel companies and their investors to guide them into the medium to long-term future.
For a free summary of our latest report visit our website at www.otusco.com
Otus Analytics© - A proprietary system for the evaluation of hotel brands
O T U S 37
Otus Industry Writings
Hotel chain growth and the development process" written by Paul Slattery
"Dual Listed Companies: An Introduction" written by Simon Read
"Synthetic Mergers and Airline Consolidation" written by Simon Read
"The Otus Theory of Hotel Demand and Supply" written by Paul Slattery
“NEW BOOK ALERTS HOTEL CHAINS TO A LONG-TERM GOLDEN AGE OF GLOBAL GROWTH
But advises the need for a more systematic approach to strategy and investment Oxford, 14 July 2009 – a new book, The Economic Ascent of the Hotel Business, by Paul Slattery issues”
Industry writings, often using proprietary data and tools
Reproduced from Hotel Analyst Size and Structure I
Size and Structure II
Italy
Scandinavia
Britain
France
Germany
Resorts
Common Standards
Chain portfolios in Europe
Hotel supply in UK
Transformation of British hotel business
Transformation and turbulence
Why hotel chains grew in Britain
Hotel supply in Europe
Hotel chain supply in Europe 2009 - momentum and indecision
Measuring the relative values of hotels and hotel brands
The confused world of hotel categorisation
Otus Analytics Hotel Analyst Unaffiliated Hotels in Britain
Copies of the above articles and more are available on our website at www.otusco.com
O T U S 38
O T U S
O T U S S E R V E S C O M P A N I E S , C A P I T A L P R O V I D E R S ,
G O V E R N M E N T S , S U P P L I E R S A N D T R A D E B O D I E S
O T U S S E R V E S C L I E N T S A R O U N D T H E W O R L D
O T U S S E R V E S T H E
H O S P I T A L I T Y , T R A V E L A N D T R A N S P O R T I N D U S T R I E S
O T U S 39
A P P E N D I C E S
O T U S 40
Appendix 1: Biographies - Directors Paul Slattery
Paul Slattery is a co-founder and Director of Otus & Co and Partner of Otus Corporate Finance LLP. He worked for Dresdner Kleinwort Wasserstein ("DrKW") for 15 years until 2002. Until 1998 he worked in Global Equities where he was head of Hospitality research. He established the industry presence of DrKW and built its hospitality reputation as one of the market leaders among stockbrokers. His prime responsibilities were the analysis of hospitality companies, the publication of investment research on the companies and the provision of investment advice to financial institutions. He developed and managed teams of investment analysts who were usually voted in the top three in the sector. Paul created a database of the global hotels of quoted companies, which provides unique analyses of the strategic opportunities for hotel chains and his annual book on Quoted Hotel Companies as well as analyses of restaurant companies became sources of record in the hospitality and investment industries.
In 1998 he joined Corporate Finance at DrKW and from 2000 worked alongside Simon Read to develop the bank's franchise in the hospitality and travel arena. In this role he undertook strategic research on the hospitality industry and its companies as well as advising companies on mergers and acquisitions. Since he joined, DrKW has advised on a range of hospitality transactions for companies such as Compass Group, Scandic Hotels, Thompson Travel Group and Whitbread. Of particular note, Paul, together with Simon Read, advised Compass Group in 2000/2001 on its disposal of the Forte hotel brands, the largest ever hotel chain auction. Paul has been a non-executive director at Taylor Nelson Sofres Hospitality and Leisure, the premier market information company for the global hospitality industry, and HLR Associates, the recruitment consultants for the international hospitality industry.
Early in his career, Paul worked for several international hospitality companies including Trust House Hotels, Canadian Pacific and The Rank Organisation. He also spent time as an academic at Huddersfield University in England where he ran the BA Honours Hotel and Catering Administration and was responsible for management research at the Hotel and Catering Research Centre. He has an undergraduate degree in Hotel and Catering Management and an MSc by research from the University of Strathclyde, Glasgow. He is a Fellow of the Hotel and Catering International Management Association. Paul writes regularly for academic and industry publications and is in frequent demand to speak at international hospitality industry conferences. Paul is the visiting Professor of Hospitality Management at Oxford Brookes University and Chairman of The International Hotel Investment Council.
O T U S 41
Appendix 1: Biographies - Directors Simon Read
Simon Read is a co-founder and Director of Otus & Co and Partner of Otus Corporate Finance LLP. He worked for 16 years to 2002 in Corporate Finance at Dresdner Kleinwort Wasserstein where he was Managing Director responsible for the hospitality, travel and transport sectors, dealing with M&A, IPOs, secondary offerings, privatisations and general financial advice. From 1986 to 1990 he worked on a wide range of projects for companies such as Rio Tinto, Smith & Nephew, Saatchi & Saatchi and Bowater and was closely involved in the privatisation of the Electricity Supply Industry in England and Wales, managing the prospectus preparation for four of the 12 regional electricity companies. In the early 1990s he was engaged on a series of major assignments for British Aerospace, including the rights issue in 1991, the re-organisation of its regional aircraft activities in 1992, the sale of its corporate jets business in 1993, the sale of Rover to BMW in 1994 and the restructuring of the four-partner Airbus consortium.
In 1995, he advised Rio Tinto, devising the new structural elements of its award-winning synthetic merger with CRA of Australia. Also in this period he worked for Gallaher on its public offer for Invergordon Distillers in 1993 and for Boddington on its hostile bid for Devenish in 1991. Since 1995, he has focused on the transport industry. He advised on the international equity offering of Finnair in 1995 and he has worked for BAA, Iberia, Vienna Airport, Thai International and Aer Lingus. In 1998, he advised on the IPO of British Regional Airlines and acted for DHL on the sale of a strategic stake to Deutsche Post World Net, working further for DHL the following year on the sales of DHL shares by Nissho Iwai and Japan Airlines. As well as the DHL deals, during 1999 he advised on the privatisation of TAP Air Portugal, the rights issue of Austrian Airlines, the purchase of a stake in South African Airways by Swissair, the sale of a strategic stake in British Midland to Lufthansa and the privatisation of LOT Polish Airlines.
In 2000 he began to work with Paul Slattery to expand into the hospitality and travel industries, being appointed, together with Paul, in autumn 2000 to advise Compass Group on the sale of the Forte hotel brands, the largest ever hotel chain auction. Also in 2000 he acted for Swissair on its merger discussions with Alitalia. In 2001, in addition to completing the Forte sale, he advised on the IPO of Fraport (Frankfurt Airport), the largest ever airport equity offering and assisted on the defence of TBI from a hostile bid by Vinci. Since co-founding Otus in 2002, Simon has worked with Otus colleagues on a range of advisory and M&A assignments for clients including NHH, GE Capital, Whitbread, Rezidor, Carlson, Scandic, Holidaybreak, Radisson Edwardian, Expedia, All Leisure, HBOS, RBS Barclays Capital, Alchemy Partners and others. Simon has an undergraduate degree in Philosophy, Politics and Economics from Oxford University and a post-graduate degree in Philosophy from London University. He qualified as a Chartered Accountant with Price Waterhouse.
O T U S 42
Appendix 1: Biographies - Directors Andrew Boshoff Andrew Boshoff is a Director of Otus & Co and a co-founder of Otus Corporate Finance LLP. Before joining Otus, Andrew was a Vice President in the investment banking divisions of Credit Suisse First Boston (“CSFB”) and Donaldson, Lufkin & Jenrette (“DLJ”), where he led the banking team on the IPO of easyJet in October 2000 and acted as Chief Operating Officer for the European Energy Group. Before joining DLJ, Andrew worked closely with Simon Read, a co-founder of Otus & Co, as a member of the transport team at DrKW. He was responsible for completing a series of high profile transactions in the transport and logistics sectors for clients including DHL and Swissair, both with Simon Read, as well as Target Worldwide Express and the Government of Finland. He also spent several months working in South Africa on the ground-breaking demutualization and global equity offering for SANLAM. Andrew trained and qualified as a corporate lawyer, working for Linklaters in London and Paris. As a lawyer he advised corporate clients and government agencies on cross-border M&A transactions, international and domestic equity issues, LBOs/MBOs and offshore funds. He has a First Class honours degree from the University of York, England.
O T U S 43
Appendix 1: Biographies - Directors Ian Gamse Ian Gamse is a Director of Otus. Before joining Otus Ian worked for SG Warburg, where he designed and implemented global publishing systems in Equity Research, revolutionised the provision of business information in Corporate Finance and led the team which decentralised the marketing presentation production process, developed software to automate document composition and retrained the practitioners in written communication with the client. In 1995, he joined Caspian Securities Ltd., the start-up emerging markets investment bank, where he combined the role of head of investment banking operations with front-line corporate finance work, focusing on financial modelling and corporate communications; clients included the governments of Malaysia and Uganda. In 1998 he established ACL, advising a number of internet start-ups on their successful fundraisings and assisting overseas hi-tech companies in building their UK business. Clients have included DealTime (now Shopping.com) which he launched in the UK, Tradeum (acquired by VerticalNet) which he advised on European financial services strategy and Color Chips India for which he negotiated a million-dollar 3d animation film contract. Ian holds an MA in Mathematics and Oriental Studies from Cambridge University, is a non-executive director of Pafra Adhesives Ltd and a Fellow of the Royal Society of Arts. He was formerly Treasurer of the London School of Jewish Studies.
O T U S 44
Appendix 1: Biographies – Special Advisors Richard Atkinson Richard Atkinson is a Special Advisor to Otus and an independent consultant to the travel industry. Richard was latterly Group Chief Executive of Holidaybreak, from which position he retired in September 2005 after 30 years with the company, 24 as a director and 22 as managing director/chief executive. Holidaybreak is the UK’s leading operator of specialist holiday businesses and operates through three divisions: Hotel Breaks, Adventure Travel and Camping. Richard began his career with Eurocamp, the original predecessor of Holidaybreak, becoming General Manager when it was then a family business. He was responsible for the development of the business to market leadership in the UK self-drive camping market, then a rapidly growing sector. Eurocamp was acquired by Combined English Stores (later Next) in 1980 and when the founder left in 1983 Richard became Managing Director. He was responsible for launching the Eurocamp business in Continental Europe, initially in the Dutch market and subsequently in Germany.
The core business of camping was also later developed with the purchases of listed company Keycamp and Eurosites from MyTravel. In 1988, Richard led the management buy-out of Eurocamp from Next for £32million and then in 1991 the floatation on the stock market for £54million. At the time of his retirement from Holidaybreak, the company had a market capitalisation of £320million. Richard was responsible for diversifying the group away from its reliance on the single product of camping. In 1995, Holidaybreak acquired Superbreak, taking the company into the fast-growing short breaks hotel market in the UK. This business comprises the current group’s successful Hotel Breaks division. In 2000, Holidaybreak acquired Explore Worldwide, which took the group into another fast-growing area – adventure holidays – and created the third leg of the business: Adventure Travel. More recently, the focus of the company has been in Continental Europe, and at the end of 2004, Holidaybreak acquired two businesses in Holland: Djoser and BRC.
Richard is a director of the Association of Independent Tour Operators. He has a degree in Economic and Social Studies from Manchester University and is a member of the Chartered Institute of Marketing, the Chartered Management Institute and the Institute of Travel and Tourism..
O T U S 45
Appendix 1: Biographies – Special Advisors Philippe Bruggisser
Philippe Bruggisser is a Special Advisor to Otus and an independent advisor and consultant on and to the aviation industry. Prior to establishing his own consultancy, Philippe worked for 22 years with Swissair, latterly as group chief executive. He is based in Zurich. Philippe held various positions in finance within the Swissair group before taking responsibility for the airline-related activities of the group. In this capacity he was responsible for restructuring Swissotel and the development of airline catering (Gate Gourmet, world No.2), industrial catering, rail catering (Rail Gourmet), airport retailing (Nuance, world No. 2) and freight forwarding. He was responsible for the acquisition and integration of, among others, SAS Service Partner and MS McLeod. In 1996 he became Chief Operating Officer of the group and transformed it from a traditional airline structure to that of a holding company with four divisions. This also involved the creation of separate companies for aircraft/engine maintenance (SR Technics), cargo, ground handling (Swissport), IT and real estate.
As chief executive of the airline, Swissair, he was responsible for an extensive restructuring programme, introducing the four wave system, integrating the long haul flights out of Geneva into the Zurich hub, launching a new business class product and implementing staff reduction programmes. In 1997 he became chief executive of the group. He was responsible for expanding the airline-related activities organically and by the acquisitions of, and investments in, Dobbs, Alders, Dynair and Cargolux. He founded and built up the Qualiflyer airline alliance which included various airlines in Europe and elsewhere, in which the group held several investments, including in Austrian Airlines, Sabena, AOM/Air Liberte, SAA and LOT. He was responsible for the formation of the Airline Management Partnership between Swissair and Sabena, then the closest form of cross-border co-operation between two independent airlines. He implemented new inter-continental alliances with American Airlines (including anti-trust immunity), JAL, Cathay Pacific, SAA, Malaysian Airlines and Thai Airways.
As chief executive he was responsible for management of the crisis following the crash of a Swissair MD-11 in Halifax, Canada. He was a member of the boards of Crossair, Cargolux, SAA, LOT, Volare, Sabena, Credit Suisse Group, and RUAG. Philippe has a Masters in Economics from the University of Basel and studied in Economics and Law and the University of Geneva. He holds the rank of Lt Col in the Swiss Army.
O T U S 46
Appendix 1: Biographies – Special Advisors Richard Carrick Richard Carrick is a Special Advisor to Otus. Richard has worked in the travel industry for some 35 years for the International Leisure Group, Saga Holidays, Airtours and MyTravel, Forte Hotels & Restaurants and Hoseasons Holidays. He has held senior positions running tour operating, retail, airline, cruise and hospitality businesses including hotels and timeshare. He currently holds non-executive positions with PrivateFly.com, Blue Chip Holidays, Club la Costa and operates a consultancy service for specialist tour operators, hotels and private equity houses. His specialist expertise lies in formulating strategic direction for leisure companies, brand and product development and sales and marketing, with a strong emphasis on online distribution. He is a frequent presenter and moderator at travel and leisure industry conferences and events and writes regularly on key issues.
O T U S 47
Appendix 1: Biographies – Special Advisors Remy Gancel
Rémy Gancel is a Special Advisor to Otus. In addition to this role, Rémy is Senior Advisor to Wagram Corporate Finance, one of the major M&A boutiques dedicated to the midcap market in France. Rémy is also active as Independent member of Investment Committees and Boards in the Real Estate and Hotel sectors. Rémy is based in Paris. Between 2005 and 2009 Rémy was Managing Director of GE Capital Real Estate. While Head of New Business for Europe, he was responsible for launching and leading GE Capital Real Estate initiatives in the hospitality sector across Europe. In this capacity, he led the GE Capital Real Estate team who created a Pan-European hotel investment fund in partnership with Cardif, BNPParibas life insurance arm. Prior to joining GE Capital Real Estate Europe, Rémy was Chairman and CEO of Sophia from 2001 to 2005. Sophia was the 4th largest listed real estate investment company in France in terms of assets, with a portfolio of over €4.5bn. Major shareholders included AGF (Allianz Group) and Société Générale.
In the acquisition process by GE Capital Real Estate, Rémy had a key role, firstly in the auction phase, then during the public tender offer and lastly during the execution of the sale to GE Capital Real Estate. Rémy led the transformation of Sophia from a small real estate investment company into the fourth largest one listed in Paris. Under his leadership, Sophia strategically shifted its core business from real estate leasing into a fully integrated real estate investment company. During his tenure as Chairman and CEO, Sophia became the 4th largest listed real estate investment company in France. While at Sophia, Rémy acquired a wide and deep knowledge in real estate financing and investment, as well as in corporate M&A, through more than a dozen external growth operations negotiated with groups like AGF, Zürich, BNPParibas, AXA, Allianz and, Société Générale. These included five public tender offers on listed companies (Soficomi, Creditel, Finextel, Interbail, Sophia). Rémy joined Sophia in 1988 as a CEO, before becoming Chairman and CEO in 2001. He was key part of the team who launched Sophia as a sister company of Laffitte-Bail in 1986.
Previously, Remy had joined Laffitte-Bail in 1980 as a Director, before being promoted to the position of Deputy Managing Director (Directeur General Adjoint) in 1986 and becoming CEO (Directeur General) in 1988. During his tenure at Laffitte-Bail Remy developed the company to become a leading institution in real estate financing, and executed various leasing and financing operations with clients which include Galeries Lafayettes, France-Télévision, Leclerc, Accor, Groupe du Louvres, Canal +, Lidl, Vivendi, Elyo Le Duff and Pinault. Previously, Rémy had worked at Sodeteg (Thomson Group), and then in Banque Rothschild. Rémy graduated from Paris IX – Dauphine University and is a member of the Audience of Institut des Hautes Etudes de Défense Nationale - IHEDN and of the International Hospitality Investment Council – IHIC.
O T U S 48
Appendix 1: Biographies – Special Advisors Richard Gooding OBE Richard Gooding is a Special Advisor to Otus and was formerly CEO of London City Airport. Richard Gooding has worked in aviation for over 45 years for BEA/British Airways, Manchester Airport, London Luton Airport and London City Airport, the latter 2 assignments as CEO. He is particularly experienced in airport sales and marketing, public affairs and politics, as well as planning and infrastructure development. Richard is currently a non-executive director and Board member of London City Airport, and speaks regularly at conferences.
O T U S 49
Appendix 1: Biographies – Special Advisors Roger Kitley
Roger Kitley is Special Advisor to Otus and an independent advisor and consultant on and to the aviation industry with particular focus on the airports sector. Prior to establishing his own consultancy, Roger worked for 13 years with BAA as Managing Director of BAA International Ltd., the BAA subsidiary responsible for developing BAA’s interests in the investment in, and management of, overseas airports. During this period, BAA established a significant presence in 13 airports outside the UK. Since then he has worked for several clients including BAA and for the Commonwealth Development Corporation (CDC) in the latter’s acquisition of a substantial minority stake in YVR Airports Services Ltd. (YVRAS), the international arm of Vancouver International Airport. In 2001 he was appointed a Director of YVRAS, which is now 47% owned by CDC. YVRAS has equity investments and management agreements with a number of airports outside Canada, including Santiago, Dominican Republic and Jamaica together with five Canadian airports
including Hamilton Airport near Toronto in which YVRAS has a 56% equity stake. Roger led BAA’s participation in the Australian Airport Privatisation programme, which ultimately led to the sale of long-term leases on all of the former Federal Airport Corporation’s 19 airports. BAA formed a consortium, Australian Pacific Airports Company (APAC) together with a number of financial investors, most notably AMP. APAC was subsequently successful in acquiring a 99-year lease on Melbourne Airport for A$1,307 million and Launceston Airport for A$18 million. BAA subsequently acquired an interest in Perth Airport and the Northern Territory Airports including Darwin and Alice Springs as part of a secondary transaction. Roger led the early negotiations with the various Government agencies, relationships with the various advisors and the negotiation of the consortium agreements. He was appointed a Director of APAC once the transactions were completed. Other successful projects included the acquisition of a 65% stake in Naples International Airport. This transaction involved a direct negotiation with the
City of Naples and was the first airport privatisation in Italy. Roger also led BAA’s participation in a number of US airports including Pittsburgh, Newark, Boston and Indianapolis. The Indianapolis project involved a long-term management agreement and was a groundbreaking first privatisation of a major US airport. In each of these projects Roger led all aspects of the transactions. Prior to joining BAA, Roger was Sales and Operations Director for Fluor Daniel, a major engineering and construction company. During this period, he was responsible for construction projects totalling over $500 million. Roger is a Chemical Engineering graduate from Teesside University and is Chair of Governors of a large comprehensive school in Epsom, Surrey. He is also a member of The Global Foundation, a Melbourne based non-profit organisation that promotes dialogue between government, business and academia at a global, strategic level.
O T U S 50
Appendix 1: Biographies – Special Advisors Roger Maynard Roger Maynard is a Special Advisor to Otus and was formerly Director of British Airways responsible for Investments and Alliances. Prior to joining British Airways, Roger had a 22-year career in the UK Civil Service including four years working in Geneva with responsibility for international trade negotiations and four years in the British Embassy in Washington responsible for shipping, aviation and aerospace. In 24 years at British Airways Roger held a variety of roles, in particular as EVP North America 1988-1989, responsible for 2000 employees and £2bn of revenue; Director of Strategy 1991-1996; Director of International Business and Alliances 1996-2005; and latterly as Director of Investments and Alliances. He was responsible for all BA’s M&A activity, including the purchase of equity stakes in US Airways, Qantas Airways, Iberia, and TAT, and subsequent sales of TAT, US Airways and Deutsche BA; for negotiation of joint ventures, notably the BA/Qantas Joint Services Agreement; for negotiation of the merger with Iberia; and for the creation and development of the oneworld alliance.
In addition, he was Chairman of BA’s low cost airline GO and led its successful sale; Chairman of Deutsche BA Supervisory Board, a subsidiary of BA established in Munich; Chairman of CitiExpress, BA’s regional airline based at Manchester; Chairman of CityFlyer, the BA subsidiary based at London City Airport; and Chairman of OpenSkies, BA’s low cost longhaul airline based in Paris. Being responsible for BA’s international investments, Roger also held non-executive directorships at partner airlines. He sat on the board of US Airways, representing BA’s 22% shareholding. He was a non-executive director of Qantas following the acquisition by British Airways of a 25% stake in Qantas; he was also member of the board committee overseeing the Qantas IPO in 1995. From 2000-2010 he was a member of the board of Iberia following the acquisition of a 9% shareholding by British Airways; in this capacity he was active in Iberia’s IPO in 2001. Roger was also a non-executive director of Opodo.
Roger has a degree in Economics from Cambridge University. He is a non-executive director of AJW Aviation and was formerly Chairman of the British Airways pension scheme.
O T U S 51
Appendix 1: Biographies – Special Advisors Chris Tarry
Chris Tarry is a Special Advisor to Otus & Co. He also runs his own consultancy firm, CTAIRA which was founded in 2002. After building his reputation working for a number of leading financial institutions and spending some 20 years as a top rated analyst in the Cty of London, Chris established himself as an independent aviation analyst and advisor in 2002. He has served as special advisor on aviation policy issues to the UK Government, to Parliamentary Committees and to the Civil Aviation Authority; he has also advised a number of airlines as well as major airframe manufacturers and aircraft lessors on strategic development issues. He has carried out assignments involving business plan assessments for major carriers on behalf of banks and investors; in-depth reviews of prospects for European airline consolidation; evaluations of major international airlines on behalf of potential investors; and strategic reviews of airlines undergoing structural change. He works at senior management and Board level.
He is a member of the European Advisory Panel of All Nippon Airways and has been appointed a member of the "Vison 2050" Group established by the Director General of IATA to consider the future of the airline industry.
O T U S 52
Appendix 1: Biographies – Special Advisors Chris Walton
Chris Walton is a Special Advisor to Otus. Chris was formerly Finance Director and CFO of EasyJet. He has 17 years experience in the airline industry working in senior finance and commercial capacities for Qantas Airways, Air New Zealand, Australia Post and Australian Airlines. At EasyJet, Chris was a key part of the team that grew a small private company into one of Europe’s largest low-cost airlines and one of its most successful online retailers. He has an in-depth understanding of online selling, yield management and the use of technology to reduce costs. In addition, the combination of his low-cost and full-service experience has given him a unique insight into the operation of consumer facing businesses with icon brands. While FD at EasyJet, he was responsible for its successful IPO and the international corporate reconstruction and refinancing that preceded the IPO.
Chris was fully involved in the ground-breaking contract for the purchase of 240 Airbus aircraft and the purchase of the airline Go-Fly. He designed and implemented a financing framework for $5 billion of new aircraft. In 2005, Chris was awarded a personal “Lifetime Achievement Award” in aviation by AirFinance Journal. This followed his finance team’s receipt of Air Finance Journal’s European Corporate Finance Deal of the Year award. At Qantas Airways, Chris was responsible for the Group’s financial and strategic planning and, latterly, for identifying, negotiating and overseeing synergistic activities between Qantas and British Airways. During seven years at Australian Airlines, Chris reviewed and restructured unprofitable businesses, including regional airlines, retail travel agents, resorts, catering and computer reservations. He negotiated the purchase of the Westpac retail travel agency network, and joint ventures for computer reservations, air freight and catering businesses. He co-ordinated the privatisation trade-sale process for the company, including negotiations with credit rating and Government bodies.
At Air New Zealand, Chris was Finance Manager of the International Airline Business, with responsibilities on five continents. In this role, he also acted from time to time as the Director of Sales and Marketing. As a senior finance executive in Australia Post, Chris obtained its initial credit rating and was responsible for submissions to government regulators. Earlier roles included corporate planning for BP and working as a legislative assistant in the Australian Senate. Current non-executive board roles include Chairman Elect of Goldenport Holdings and Audit Chairman of Rockhopper Exploration. Chris was a member of the Regional Economic Advisory Panel (South East & Anglia) of the Bank of England from 2002 to 2005. Chris has an MBA and a BA. He holds a private pilot’s licence and flies aerobatics. His military experience has been in Special Action Forces in the Australian Army Reserve. Chris is resident in London.
O T U S 53
Experience from working with clients
We have an unrivalled track record of involvement in the key deals
Sectors Projects
Airlines Strategy reviews
Hotels Acquisitions
Real Estate Disposals
Restaurants Private Placements
Travel Commercial due diligence
Our clients include:
Carlson Companies, Expedia, GE Real Estate, HBOS, Hilton, Host Hotels and Resorts, Marriott, NH Hoteles, Orient-
Express, Rezidor, Starwood and Whitbread as well as various other listed companies, family and private equity-owned
companies, banks and private equity and real estate funds.
Our recent completed M&A deals have included:
acting for HBOS on the acquisition of David LLoyd Leisure
acting for Whitbread on the acquisition of Golden Tulip in the UK
acting for Whitbread on the acquisition of hotels from The Real Hotel Company
acting for Carlson and Rezidor on the sale of Regent Hotels
O T U S 54
How to contact us
For more information
please visit our website at
www.otusco.com
or email us at
Paul Slattery , Director
Direct line +44 (0)20 7375 2604
Mobile +44 (0)7789 741 346
Email [email protected]
Simon Read, Director
Direct line +44 (0)20 7375 2606
Mobile +44 (0)7810 541 721
Email [email protected]
O T U S & C O No 1 Cornhill London EC3V 3ND Head Office: +44 (0)20 3008 7315 Facsimile: +44 (0)20 3008 7316 Switchboard: +44 (0)20 7397 3380 Facsimile +44 (0)20 7397 3381 How to contact the Directors of Otus
How to contact Otus
Andrew Boshoff, Director
Direct line +44 (0)20 7397 3382
Mobile +44 (0)7879 493977
Email [email protected]
Ian Gamse, Director
Direct line +44 (0)20 7397 3387
Mobile +44 (0)7906 357 285
Email [email protected]
O T U S 55
Further information Otus In this document, the trading names “Otus” and “Otus & Co”, depending on the context, refer to Otus & Company Advisory Limited and/or Otus Corporate Finance LLP. “Otus” is the registered trade mark of Otus & Company Advisory Limited.
Otus & Company Advisory Limited Otus & Company Advisory Limited is a company incorporated on 2 December 2002 in England and Wales with number 4605657 and is wholly owned by Paul Slattery and Simon Read. The Registered Office is at 25 Moorgate London EC2R 6AY. Otus & Co is registered for Value Added Tax with number 820 8804 36. The Directors are Paul Slattery, Simon Read, Andrew Boshoff and Ian Gamse.
Otus Corporate Finance LLP Otus Corporate Finance LLP is a limited liability partnership incorporated on 27 July 2004 in England and Wales with number OC308754 and is controlled by Otus & Company Advisory Limited. Otus Corporate Finance LLP was formed for the purpose of conducting corporate finance business and is authorised and regulated by the Financial Services Authority. The Registered Office is at 25 Moorgate London EC2R 6AY. The members are Otus & Company Advisory Limited, Paul Slattery, Simon Read and Andrew Boshoff.
Otus Analytics The Otus Hotel Brand Database is the most complete and consistent source for information and analysis on European hotel supply, covering more than 800 brands across the continent. For the first time, Otus, in association with Hotel Analyst, is publishing comprehensive reports on the European market, offering owners, operators, investors and advisors a unique picture of both the general shape of the European and individual country markets and a wealth of information on brands, from the largest to the smallest.
16/08/2012 O T U S 56
Notes
Version:
O.2010