© Copyright Acquisition International 2026 - All Rights Reserved.

Article Image - Grant Thornton UK LLP Advise on Safestay’s Acquisition of Smart City Hostel
Posted 27th August 2015

Grant Thornton UK LLP Advise on Safestay’s Acquisition of Smart City Hostel

Grant Thornton UK LLP Advise on Safestay's Acquisition of Smart City Hostel

Mouse Scroll AnimationScroll to keep reading

Let us help promote your business to a wider following.

Grant Thornton UK LLP Advise on Safestay’s Acquisition of Smart City Hostel

Grant Thornton UK LLP Advise on Safestay’s Acquisition of Smart City Hostel

View Biography
Image

London Aim-listed budget hotel player Safestay has signed on the dotted line to take over Smart City Hostel, an Edinburgh-based hostel operator.

The firm announced the plans alongside a GBP 9.34 million placing and open offer.

Under the terms of the acquisition, Safestay will pay GBP 14.90 million for Smart City Hostel, which runs a 132 room, 615 bed property in Edinburgh.

As a result of the deal, the buyer will increase its peak summer season bed numbers to more than 1,500, while it will have 1,200 available thoughout the rest of the year.

The acquisition, which constitutes a reverse takeover under Aim rules, is to be financed using a GBP 8.50 million debt facility and the balance will contribute towards its working capital.

Commenting on the decision to acquire in the Scottish capital, Safestay’s chairman, Larry Lipman, said the city has been a target since the business was originally launched due to its popularity with tourists.

He added that the move is in line with the group’s plan to build a Europe-wide network.

Safestay’s shares have been suspended from trading but recommenced this morning in connection with the new announcement.

Smart City Hostel posted revenue of about GBP 2.70 million for the year to 31st December 2014, while adjusted earnings before interest, taxes, depreciation and amortisation for the period totalled GBP 1.00 million, according to the buyer’s press release.

The firm is not Safestay’s only acquisition of 2015; last month it signed a letter of intent to pick up special purpose acquisition vehicle Milan SPV for EUR 9.00 million on a debt and cash free basis.

It simultaneously unveiled plans to purchase an undisclosed, but larger, hostel and accommodation scheme in the UK in a reverse takeover.

Categories: Legal, M&A, Strategy


You Might Also Like
Read Full PostRead - Eye Icon
Commercial Disputes: The Pros and Cons of Arbitration
Legal
17/07/2024Commercial Disputes: The Pros and Cons of Arbitration

Litigation – that is, formally dealing with a dispute through the parties’ domestic courts – has long been the go-to solution when commercial disputes arise, but this form of dispute resolution has been regarded as lengthy, costly, and does little to pre

Read Full PostRead - Eye Icon
AccessibilityOz
Innovation
08/06/2016AccessibilityOz

AccessibilityOz is an accessibility consultancy based in Australia and the United States whose mission is to make organisations more accessible to people with disabilities.

Read Full PostRead - Eye Icon
6 Common Issues With Medical Billing — and How to Overcome Them in Your Business
Innovation
15/05/20236 Common Issues With Medical Billing — and How to Overcome Them in Your Business

Running a medical billing business can be an incredibly rewarding endeavour, but it is not without its challenges. Every day, healthcare businesses face complex and ever-changing regulations that must be navigated to ensure accurate payments for services rende

Read Full PostRead - Eye Icon
An Expert Witness in the Field of Orthopaedics
Leadership
22/07/2019An Expert Witness in the Field of Orthopaedics

RSW Medico-Legal Ltd provides medico-legal services in Trauma and Orthopaedics. Recently, we caught up with Founder, Richard Scott-Watson, MEOL Accredited Expert, who provided us with a glimpse of the exceptional services he provides to clients, as well as off

Read Full PostRead - Eye Icon
Aesthetics Clinic Secures Success!
Innovation
08/10/2021Aesthetics Clinic Secures Success!

The advent of new and exciting procedures has encompassed all walks of the medical world, and it is top providers who ensure they offer these services. None is finer than the team behind Dr. Katie Clinic. It has achieved the remarkable under the leadership of

Read Full PostRead - Eye Icon
What Do Companies Look for in their Accountants?
Finance
01/09/2020What Do Companies Look for in their Accountants?

Very few professions are as versatile as that of an accountant. Unlike most skilled workers, including doctors and engineers, the accountant can potentially work in any industry. The ability to work with numbers, or rather make the numbers work for their emplo

Read Full PostRead - Eye Icon
Trademark Law: Trending to the Top
Legal
03/02/2015Trademark Law: Trending to the Top

Edwin Coe believe intellectual property is a vital tool in the creation and protection of dynamic business assets.

Read Full PostRead - Eye Icon
Love Success – You’re Hired!
Strategy
01/12/2016Love Success – You’re Hired!

With a London HQ and a nationwide presence, Love Success steps up as the UK’s leading recruitment consultancy.

Read Full PostRead - Eye Icon
How to Cut Energy Costs for Your Business
Finance
03/01/2023How to Cut Energy Costs for Your Business

The energy crisis has impacted British households and companies massively so everyone is looking to make some savings on their energy bills where they can.



Our Trusted Brands

Acquisition International is a flagship brand of AI Global Media. AI Global Media is a B2B enterprise and are committed to creating engaging content allowing businesses to market their services to a larger global audience. We have a number of unique brands, each of which serves a specific industry or region. Each brand covers the latest news in its sector and publishes a digital magazine and newsletter which is read by a global audience.

Arrow