Tsogo Sun’s Ravi Nadasen on unbundling, turning 50

Tsogo Sun Hotels, one of South Africa's largest hotel groups, is marking a significant milestone as it celebrates 50 years in the South African hospitality industry. Founded in 1969 by Sol Kursner, the company has grown from humble beginnings in a small hotel in Durban to become one of the most iconic properties in the country. Ravi Nadasen, the Chief Operating Officer of Tsogo Sun Hotels, recently appeared on CNBC Africa to discuss the company's journey and its future prospects. The interview shed light on the challenges and opportunities facing the hospitality industry, including intense competition, the recent listing on the JSE, and the launch of a new limited service hotel brand in December. Nadasen reflected on the evolving landscape of the hotel business, noting the exponential growth in competition over the years. Despite the challenges posed by a saturated market and economic fluctuations, Tsogo Sun Hotels remains committed to offering quality experiences and differentiating itself through exceptional service. The company's focus on delivering outstanding guest experiences has been instrumental in maintaining its position in a highly competitive industry. The recent listing on the stock exchange has opened up new avenues for investors to access Tsogo Sun Hotels' operations and its gaming businesses. By unbundling its assets, the company aims to attract a diverse range of investors with varying risk appetites. Nadasen expressed confidence in the decision to separate the gaming assets from the hotel operations, highlighting the potential to unlock value and appeal to a broader investor base. Looking ahead, Tsogo Sun Hotels has ambitious plans for future growth and expansion. The company is set to roll out a new innovative product called Hi Hotels, a modular structure designed to offer modern amenities and customizable facades. The first Hi Hotel is currently under construction at Montecasino, showcasing a unique approach to hospitality design and guest experience. With a strong portfolio and a focus on innovation, Tsogo Sun Hotels is poised for continued success in the dynamic hospitality market. In the face of economic challenges and cost pressures, Tsogo Sun Hotels remains committed to optimizing its operations and ensuring cost efficiency. The company continuously evaluates its strategies and looks for opportunities to enhance operational effectiveness, particularly in the current trading environment. As Tsogo Sun Hotels embarks on the next chapter of its journey, it remains dedicated to delivering exceptional service and memorable experiences to its guests. As Tsogo Sun Hotels commemorates its 50th anniversary, the company's legacy of excellence and innovation continues to drive its success in the competitive hospitality industry. With a strong foundation built over five decades, Tsogo Sun Hotels is well-positioned to embrace the future and lead the way in redefining luxury hospitality in South Africa.