SAO PAULO, May 24, 2012 /PRNewswire/ -- BHG S.A. (BM&FBovespa: BHGR3; OTC: BZHGY ) - Brazil Hospitality Group hereby announces that on May 23, 2012, the 4th Civil Chamber of the State Appellate Court of Rio de Janeiro confirmed the validity and effectiveness of the acquisition of Hotel Rio Palace, in Rio de Janeiro, by the BHG Group, overturning the first-instance ruling by the 6th Corporate Court of Rio de Janeiro, thereby rejecting the supposed preference rights of Nova Riotel and confirming BHG's acquisition.
Negotiations to acquire the hotel began on August 26, 2010, with the signing of the deed of purchase and sale with Veplan Hoteis e Turismo S.A. ("Veplan"), amended on September 2, 2010 and confirmed on July 6, 2011 by a unanimous decision by the 4th Civil Chamber of the State Appellate Court. The BHG Group then drew up the final deed of purchase and sale on August 17, 2011 via Melongena Empreendimentos 1 Ltda.
Following the decision of the 6th Corporate Court recognizing the preference rights of Nova Riotel Empreendimentos Hoteleiros Ltda, BHG filed an interlocutory appeal with the 4th Civil Chamber of the State Appellate Court, which resolved to reverse the first-instance ruling and confirm the validity and effectiveness of the acquisition of the Hotel by the BHG Group.
The Rio Palace is one of Rio de Janeiro's leading hotels, with a total built area of 57,811 sq.m., 388 rooms, ten conference rooms with a capacity for up to 2,000 people and 13 meeting rooms in its business center, two restaurants, a bar, a gym and an underground parking lot. It occupies a highly privileged location on one of Rio's main thoroughfares, with easy access to Santos Dumont airport and the downtown area, as well as the city's most beautiful beaches.
"The acquisition of the Hotel Rio Palace was in strict accordance with all the established legal procedures for this type of transaction and will generate excellent returns for our Company, creating new opportunities for business and leisure tourism. The Rio Palace has one of the most privileged locations on the entire Rio sea-front, being situated between the city's two most famous beaches – Copacabana and Ipanema," declared Pieter Jacobus F. van Voorst Vader, CEO of BHG S.A. – Brazil Hospitality Group.
Brazil Hospitality Group is one of the leading hotel companies in Brazil, with its own and administered hotels in the 3, 4 and 5 star categories. The Company is responsible for the Golden Tulip brand in South America.
BHG is a publicly held company, with shares listed on the BM&FBovespa's Novo Mercado segment, under the ticker BHGR3, and with an ADR Level I Program for trading shares on the OTC market in New York, under the ticker BZHGY.
BHG S.A. – Brazil Hospitality Group
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SOURCE BHG S.A. - Brazil Hospitality Group