Mobil said it currently owns several prime properties in its real estate portfolio fully rented to blue chip tenants, saying the acquisition of Lagos Continental Hotel was consistent with its desire to delivery “our interests given the current challenging environment in the downstream sector of the petroleum industry.”

dipoolowoo:
By Modupe Gbadeyanka

The popular Lagos Continental Hotel has been acquired by an oil company, 11 Plc, formerly known as Mobil Oil Nigeria Plc, the energy firm has confirmed.

The hospitality company was acquired from the Asset Management Company of Nigeria (AMCON) after top executives of the two organisations held several intense talks.

Mobil, in a notice to the Nigerian Stock Exchange (NSE), said it plans to partner with a major international brand to provide world class service synonymous with all its operations.

According to the disclosure, the new asset will require significant investment to raise standard from the current state to the levels consistent with similar facilities in major cities around the world.

Mobil said it currently owns several prime properties in its real estate portfolio fully rented to blue chip tenants, saying the acquisition of Lagos Continental Hotel was consistent with its desire to delivery “our interests given the current challenging environment in the downstream sector of the petroleum industry.”

It stated that, “Fuel margins in the industry have remained stagnant for several years in the highly competitive and regulated industry. We anticipate that this asset will contribute positively to earnings and underlines the faith of its stakeholders in the future of the Nigerian economy.”

Concluding, the energy company assured its “numerous stakeholders that we remain committed to delivering outstanding value and robust returns in the years ahead.

“However, in the short term, cashflow and EBITDA could be under strain as a result of funds needs to renovate and upgrade the hotel to attract a 5-star branding. We also like to assure the employees of the hotel that they will be treated with the utmost dignity and respect during the transition and seek their cooperation to make the take over a smooth one.”

Business Post reports that shares of Mobil closed flat today at the exchange at N147.90 per unit.

https://businesspost.ng/travel/mobil-acquires-lagos-continental-hotel-from-amcon/

bigtt76:
Wao! I never knew Lagos Intercontinental Hotel was distressed Mobile will now move their Hq over there and use like 5 floors to house their staff and move away from their current building and adjourning residency of the hotel opposite them.

CeterisXVII:

Dem get sense. So what will happen to their custom built head office, at Ozumba Mbadiwe Avenue in Victoria Island? That one that is close to Maroko/Sandfield?

bigtt76:
They may convert it to residential or offices .....they must have ran a risk analysis to see that it was risky for them located on the Lekki-Epe Axis due to the single road leading to and fro

CeterisXVII:

Hmmn ....they have been on that road for over 20 years. And there are two ways of connecting to that road or their head office.

bigtt76:
YEa but the current traffic situation on that axis is not good and might be risky for prompt evacuation of victims during an attack

CeterisXVII:

Risky, how? There is a jetty right across the road, behind their residential quarters. And there are different boats along that stretch that can be used for evacuation. Addax head office is also a stone throw from Mobil's HQ. In fact, there is a jetty right on Addax's doorstep.

In terms of evacuation, by road or by water, the location of the current head office, beats the proposed location where Intercontinental is currently situated.

bigtt76:
Sorry but you won't understand these things. Mobil as an American company may have their risk tolerance level different from other companies. Do you know that if those two routes someone mentioned previously are locked down in the event of a terror attack there would be no escape route? The jetty and stretch of boats you're talking about are they just across the road or some distance away? The Mobil HQ doesn't even have an helipad located there. There may be one on the Intercontinental hotel building ....these are things they consider.

I'm not trying to project evil or anything but if the Lekki-Epe expressway is under attack, how do people escape? Just think about it.