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Jakarta Post

Delonix Group fuels Asia-Pacific growth with strategic investment

Front Row (The Jakarta Post)
Jakarta
Fri, August 30, 2024 Published on Aug. 29, 2024 Published on 2024-08-29T16:37:53+07:00

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Delonix Group fuels Asia-Pacific growth with strategic investment

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lobal hospitality management and lifestyle services group Delonix Group has expanded its presence into the Asia-Pacific region, focusing on key consumer sectors such as hotels, restaurants and offline entertainment.

In 2023, the expansion started with a strategic investment in Indonesia's largest hotel management and investment platform Indies Hospitality Investments (IHI), which owns leading asset-light hotel operating companies Artotel Group and Swiss-Belhotel International Indonesia, with a total of more than 200 hotels and over 25,000 rooms.

Earlier this year, the Delonix Group’s expansion continued with the strategic investment in Hotel MONday in Japan.

Delonix's business development strategy in the Asia-Pacific focuses on a dual approach: forging strategic partnerships with local hotel management groups to pool resources and expertise, while simultaneously creating its own hotel chain brands.

By offering comprehensive hotel management services, Delonix facilitates rapid brand development and expansion, targeting to secure 30 new hotel management agreements in Indonesia within a year.

PT Delonix Group Indonesia president Bill Lin highlighted the untapped opportunities of the market, noting that Indonesia has immense market potential and remains a driving force behind Delonix's expansion plans.

"Compared with China's hotel market, Indonesia is still in the early stages of development. The sector is fragmented, with low chain-management rates and inefficient models. However, with accelerating urbanization, rising per capita income and a growing youthful workforce, Indonesia's hotel industry presents vast investment opportunities," he said.

Delonix Group Indonesia's efforts have been noticed by the government. Delonix's founder and chairman Alex Zheng along with Lin met with Tourism and Creative Economy Minister Sandiaga Salahuddin Uno to explore collaborative opportunities to advance the country's tourist and hospitality sectors.

"By working closely with the Indonesian government, we aim to contribute meaningfully to the growth and sustainability of Indonesia's tourist industry, supporting local communities, and ensuring the nation remains a top global destination," said Lin, adding that the partnership is poised to strengthen Delonix’s presence in the region and further solidify its commitment to Indonesia's tourism goals.

As part of its expansion efforts, Delonix is preparing to launch Model J Hotel, the group’s first hotel brand in Indonesia, with the first hotel planned to open near Soekarno-Hatta International Airport in the fourth quarter of this year.

Two additional Model J hotels are scheduled to open in the first quarter of 2025 in Central Jakarta and West Jakarta, signaling the group’s intent to establish a strong footprint in the region's hospitality industry and to become the largest and premier hotel group in Indonesia within three years.

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