Three Continental hotels become one

The three hotels in the Continental chain listed on RASDAQ have commenced the merger process. The three entities are Continental Arcasul SA (Suceava), Continental Astoria SA (Arad) and Drobeta Continental SA (Turnu Severin). The merger was endorsed at the end of last year during an EGM and is scheduled for completion in a matter of months. “This is the first step towards the merger of all hotels in the Continental chain, to be followed by the listing of the entity thus created on the Bucharest Stock Exchange,” Arcasul Hotel management sources said. Radu Enache, chairman of the Continental hotel chain had announced the plans to merge the 11 hotels in the chain and have the new entity listed on the Bucharest Stock Exchange or on a secondary market abroad for the spring of 2005 as early as last year. The main reason behind this is improving access to streams of cash and credibility, as explained by Enache. ZF