The self-governing airline is buying Greenland’s largest hotel. It pleases both parties.
Air Greenland has entered into an agreement to buy Hotel Hans Egede A/S, the airline writes on its website. The airline explains that the background for the purchase is the great development in Nuuk and Greenland in recent years.
– Nuuk and Greenland are facing a development with more travelers, new traffic patterns and greater demands on travel capacity. For Air Greenland, the agreement is a long-term investment in a more robust value chain that can both support growth and provide a better framework in the event of operational disruptions.
– Hotel Hans Egede is a well-run company with a strong position, and we see great potential in further developing it for the benefit of travelers, business and society alike, says CEO of Air Greenland, Jacob Nitter Sørensen.
Hotel Hans Egede A/S’ activities include: Hotel Hans Egede, HHE Express and Nuuk Hotel Apartments by HHE. In order for the purchase to be completed, approval is awaited from the Danish Consumer and Competition Authority and other relevant authorities. It has been agreed that the companies will continue unchanged until the purchase is approved.
– Air Greenland emphasizes that Hotel Hans Egede must continue to be run as an independent commercial enterprise under normal market conditions. The group already has experience in hotel business through Arctic Hospitality Group, which operates Hotel Arctic in Ilulissat, Ilimanaq Lodge and the cabins at Eqi Glacier Lodge, the airline writes.
A good year
Hotel Hans Egede was founded in 1987 by Helge Tang and Carl Juhl. In recent years, the company has stood stronger than ever. This is as a result of the opening of the new airport in Nuuk, the increasing international attention of Greenland and targeted business development. Hotel Hans Egede A/S had a profit after tax of DKK 39 million last year. It is the best result in the company’s history.
The chairman of the board of the company, Helge Tang, is now faced with stepping down in his work after four decades in the hotel industry.
– I have reached the age of 76, and the time is right to step down. Therefore, it means a lot to me that the company is now being taken forward by a Greenlandic owner with a long-term perspective and ambitions to continue developing it, says Helge Tang.
It is also stated that the owners have emphasized that the company must be carried on by local forces. It is not clear from the announcement what the purchase cost.
