Ctrip-invested Tongcheng Tourism leads funding in Mehood Hotel
Mehood expects to add 300 hotels to its inventory and launch 150 hotels by the end of this year, and increase the number of its hotels to 1,500 and open 1,000 hotels by 2022.
Mehood Hotel, a Shanghai-based mid-end hotel chain targeting business travelers, has recently announced completing a funding round worth hundreds of millions of yuan. Ctrip-invested Tongcheng Tourism led the financing, and Shaanxi Culture Industry Investment Group also participated. The funds will go towards exploring new businesses and expanding physical stores to cover more applications and services.
Since April 17, Tongcheng Tourism has integrated hotel management and catering management into its business scope, according to database portal Qichacha.
Mehood Hotel was founded in 2009, and has established footholds in first-tier cities across the country with more than 10,000 rooms in operation.
The hotel was officially listed on the National Equities Exchange and Quotations (the New Third Board) on July 29, 2016, but delisted on June 13, 2018.
Financial data of the hotel show that the operating incomes were RMB 151 million in 2016, an increase of 61% year on year. In the first half of 2017, operational incomes surged by 109.73% to RMB 119 million, and net profit attributable to shareholders of the company was RMB 2.6876 million, compared to net loss of RMB 341.84 million during the same period of 2016.
Mehood will continue to power ahead in 2018 by capitalizing on the growth momentum of the hospitality industry and its own advantages. It expects to add 300 hotels to its inventory and launch 150 hotels by the end of this year, and increase the number of its hotels to 1,500 and open 1,000 hotels by 2022.
With an increasingly maturing market and the results achieved, Mehood is looking at overseas expansion. Starting 2019, it will enter Singapore, Thailand, Japan and the United States step by step.