Tsogo Sun Plans to Split Hospitality and Casino Business
Tsogo Sun, South Africa’s premier hospitality and gaming group, announced that it will be listing its hotel business separately within a couple of months. Hospitality Property Fund, the group’s subsidiary saw its share prices surge as a result of the news. Tsogo Sun acquired controlling interest in HPF, and the group will now move its hotel interests under the Tsogo Sun Hotels brand. As a result, Tsogo Sun will only comprise the group’s gaming division (casino and alternative gaming).
According to Tsogo Sun, the separation of the two brands would offer shareholders a larger investment choice.
“It is also envisaged that the separate listing of THL will provide shareholders with transparent disclosure relating to the operations of the hotel division and allow for the valuation of THL without discounting for gaming-related regulatory risks,” Tsogo Sun is quoted in an article that appeared in iol.
“Tsogo Sun and THL will enter into a shared services agreement which will govern the continued availability of essential services currently provided by the group and the allocation of costs relating to shared service departments in order to ensure that the separation of the gaming and hotel divisions does not result in the duplication of central cost structures.”
The new hotel arm of Tsogo Sun will be headed by Marcel von Aulock who once served as chief executive of the group. Laurelle McDonald will govern the casino and gaming arm.
At present, Tsogo Sun owns 13 casinos across South Africa, including some of the most popular properties such as Montecasino and Gold Reef City in Johannesburg, the Suncoast in Durban and the Silverstar in Krugersdorp.
Tsogo Sun’s casinos offer the opportunity to experience a large variety of casino games, including multi-denomination slots, progressive jackpot games, table games and more.
Some of the casinos offer dedicated areas away from the main gaming floor for the ultimate in privacy and VIP casino betting. The casinos also offer smoking and non-smoking gaming areas.
Other casinos in the Tsogo Sun portfolio include:
• Blackrock Casino
• Emnotweni Casino
• Garden Route Casino
• Golden Horse Casino
• Goldfields Casino
• Hemingways Casino
• Mykonos Casino
• The Caledon Casino
• The Ridge Casino