Funds management and advisory firm Salter Brothers is moving forward with plans to list its hotel portfolio on the ASX, with the assets valued at up to A$2 billion.
According to sources speaking with The Australian, the company is expanding its holdings both in Australia and internationally.
Salter Brothers is a prominent figure in Australia's hotel sector.
Recent data from CBRE reveals that while billionaire Harry Triguboff holds the top spot as the country’s largest hotel owner, with 6,204 rooms, Salter Brothers is close behind, managing a portfolio of 4,921 rooms.
The firm manages around six property funds, including its Australian hotel fund, which features significant assets such as The Rialto InterContinental in Melbourne and Sydney's Holiday Inn Potts Point and Crowne Plaza Coogee.
Listing in the short-to-medium term
Salter Brothers' internal equity capital markets advisory team is reportedly working on the initial public offering (IPO) of its hotel assets. It remains unclear if external investment banks are involved.
Sources told The Australian the ASX listing could occur in the short to medium term, though the exact capital to be raised has not yet been determined.
An ASX listing would offer liquidity to existing investors wishing to exit or reduce their holdings. Over time, Salter Brothers may also consider listing other assets or potentially the parent company itself, sources told The Australian.
Salter Brothers declined to comment.