Business News

Irish hospitality fund acquires four investments in hospitality sector

By Business & Finance
28 January 2016
The Jar pub, Wexford Street, Dublin 2

Kilcullen Kapital have announced the completion of four investments in the Irish and European hospitality sectors, at a value of €5m.

The deals were executed by Global Village One, a feeder fund for Kilcullen’s recently launched private equity investment platform – the Global Village Hospitality Fund.

The investments are located in Wexford Street, Dublin 2, Dungarvan, Co. Waterford and Prague in the Czech Republic.

Speaking about the objectives of the Global Village Hospitality Fund, Colm O’Reilly, CEO of Kilcullen Investment Management, said: “To date, our private equity investments are part of a broader strategy in the hospitality, casual dining and drinks industry sectors. Our approach is based on three strategic pillars: products, services and technology; management companies and operators; and underlying property values.

“The fashionable funds tend to focus on emerging areas such as the technology sector, while in contrast the hospitality sector has been untapped and can be overlooked by traditional providers of capital. The Global Village Hospitality Fund will focus on providing development capital to fill equity gaps in companies with strong management teams, good products and growth potential. We believe this formula can result in excellent investor returns.”

In Dublin 2, the former Solas Bar (now The Jar) on Wexford Street was acquired for €2.4m, with a further €1m invested in a complete refurbishment and new concept. The investment has been made in partnership with the Loyola Group, led by Stephen Cooney and Brian O’Malley.

The Seanachaí Pub & Restaurant surrounded by 12 high-end holiday homes has been acquired in scenic Dungarvan, Co. Waterford.

In the Czech Republic, a majority stake in two Irish bar-restaurants located in the heart of Prague have been acquired: Caffrey’s on Old Town Square and the James Joyce. Both properties have over 20 years of trading history and were very successfully developed into key destination pubs by Irishman, Frank Haughton.

“We are very pleased to have taken over these excellent businesses and have added management expertise, experience and energy to drive these businesses to a new level,” added Colm O’Reilly.