Asset World Corp Public Company Limited, also known as AWC, Thailand's leading integrated lifestyle real estate group, has obtained approval during an Extraordinary General Meeting of Shareholders (E-EGM) No. 1/2023 to acquire shares of the iconic heritage building, Hotel Plaza Athénée New York. The property, located in the heart of Manhattan, is a freehold asset and has been regarded as one of New York City's finest hotels for nearly a century. The acquisition, valued at THB 7,789 million, grants AWC ownership of the ultra-luxury Plaza Athénée brand in both the US and Thailand, bringing together two iconic heritage buildings – Hotel Plaza Athénée New York and the EAC (East Asiatic Company) building in Bangkok. The latter will serve as the reception area for AWC's "River Journey Project" along the Chao Phraya River, aimed at promoting river tourism in Thailand.
Mrs. Wallapa Traisorat, Chief Executive Officer and President of Asset World Corp Public Company Limited, expressed gratitude to the shareholders for their trust and confidence in approving the investment in Hotel Plaza Athénée New York. This iconic freehold asset, situated in the heart of Manhattan, represents a significant addition to AWC's portfolio. The acquisition includes ownership rights of the world-renowned luxury brand "Plaza Athénée" and will facilitate the synergy of two flagship properties in the US and Thailand. Additionally, AWC's partnership with Nobu Hospitality to develop Plaza Athénée Nobu Hotel and Spa New York and The Plaza Athénée Nobu Hotel and Spa Bangkok will expand the ultra-luxury client base and enhance AWC's global brand value. The investment aligns with the Company's long-term growth strategy and is expected to create sustainable value, thanks to AWC's expertise in the real estate industry and its focus on integrated lifestyle value. By leveraging its experience in collaboration with world-leading hotels and the strength of the Nobu Brand, AWC aims to set a new benchmark in the hotel and tourism industry and elevate ultra-luxury tourism destinations.
As per the agreement, AWC will invest THB 7,789 million in Hotel Plaza Athénée New York and the townhouse building. The investment includes ownership rights to the 'Plaza Athénée' brand in both the US and Thailand, without any additional cost. AWC's investment structure allows for the acquisition of 18% of shares in Hotel Plaza Athénée New York initially, valued at THB 1,402 million, with the remaining shares (Call Option) of 82% to be acquired within the next 10 years. This flexible approach supports AWC's exponential growth as a model of the 'AWC Growth Fund', ensuring the Company's balance sheet remains unaffected during the development process and minimizing risks associated with investment ventures within the Company's investment proportion. As part of this investment, AWC will receive all development profits and enjoy the benefits of using the Plaza Athénée brand for future projects, as well as the growth of the Plaza Athénée brand once those projects are operational.
Mrs. Wallapa added, "This investment will create synergy value by enhancing AWC's portfolio through the development of these two iconic hotels: Plaza Athénée Nobu Hotel and Spa New York and The Plaza Athénée Nobu Hotel and Spa Bangkok, which will serve as the reception hub for the 'River Journey Project', connecting AWC properties along the Chao Phraya River and providing an ultra-luxury experience through these two iconic heritage buildings in two major global destinations, Bangkok and New York."
