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Southern Sun Hotels

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Southern Sun
Company typeHotel chain
SSU
IndustryHotel
Founded1969
FounderSol Kerzner
Number of locations
South Africa, UAE, Zambia, Seychelles, Tanzania and Mozambique
Key people
Marcel von Aulock (CEO)
Websitesouthernsun.com
Southern Sun Waterfront Cape Town

Southern Sun is a South African multinational hospitality company headquartered in Johannesburg, South Africa and listed on the Johannesburg Stock Exchange[1][2] (JSE). The group was founded[3] in 1969 by hotelier Sol Kerzner and South African Breweries. Between 2012[4] and April 2022[5] the group was known as Tsogo Sun. Southern Sun owns and operates over 90 hotels in South Africa, Zambia, Mozambique, Seychelles, and the Middle East. In addition to hotels, the group operates conferencing venues including Sandton Convention Centre[6][7] in Sandton, food and beverage outlets, and spas.

History

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Southern Sun Hotels was formed in 1969[8] through a partnership between hotel magnate Sol Kerzner and South African Breweries Limited. At the time, Southern Sun Hotels was the largest[9] hotel group in the Southern Hemisphere. The group started with six hotels including the Beverly Hills[10][11] hotel in uMhlanga, near Durban.

In 1983[12] the group split, with the casino operations becoming Sun International, and the hotels remaining as Southern Sun. In 1985[13] the group acquired the Holiday Inn South Africa hotel group. This expanded operations from 27 to 50 hotels throughout the country. Between 1985 and 1990 the group became one of the largest fanchisees of Holiday Inn, Crowne Plaza, Holiday Inn Garden Court, and Express by Holiday Inn brands. During the 1990s the group expanded beyond South Africa. Hotels were opened and acquired in the Seychelles, Lusaka, Maputo, Dar es Salaam, and Nairobi.

In 1991 Southern Sun delisted from the JSE to become a wholly owned subsidiary of South African Breweries. In the same year Southern Sun entered into a joint venture[14] with Accor SA[15] to develop the Formula 1 and Formula Inn hotel brands in South Africa. In 1995 Tsogo Sun Holdings was constituted as a bidding consortium between Southern Sun and numerous black empowerment partners to form Tsogo Sun Gaming. In the same year the group entered into an agreement with InterContinental Hotels & Resorts to operate three hotels in South Africa. In 1999[16] Southern Sun acquired a 50% interest in a consortium with Liberty Group Limited (‘Liberty’) called The Cullinan Hotel Proprietary Limited (‘Cullinan’) which owned three hotels.

In 2000[17] the group opened the Sandton Convention Centre, one of the largest privately opened convention centres of its kind. In 2002 the group restructured resulting in Tsogo Sun having 51% black ownership from various empowerment consortiums with the balance of the shares owned by SABMiller. Subsequent to this, Hoskens Consolidated Investments (HCI) became the largest shareholder of the group. In 2005 the group rebranded several hotels to Southern Sun Hotels, Garden Court and StayEasy. The group also opened the first SunSquare branded property in the same year.

Between 2009 and 2011 the group acquired Blackrock Casino and the Caledon Casino, Hotel and Spa. A merger with Gold Reef Resorts Limited incorporated an additional seven casinos in the groups portfolio. In 2012[18] the group undertook a reverse listing on JSE to consolidate the casino businesses and Southern Sun Hotels under one brand, Tsogo Sun. In 2013[19] the group acquired Accor SA's holding in Formula 1 hotels and rebranded them () to SUN1. The group also completed the consolidation of the 734 room Southern Sun Elangeni & Maharani hotel and invested $70 million into the Southern Sun Ikoyi hotel in Lagos, Nigeria.

In 2014, after 45 years, SABMiller disposed[20] of its stake in the group and the investment was placed in the local and international market. Southern Sun Abu Dhabi opened in the same year. In 2015[21] construction began on the 500 room SunSquare and StayEasy hotel complex in the Cape Town City Bowl. In 2016[22] the group began managing Crowne Plaza Rosebank and Holiday Inn Sandton. In June 2019 the business unbundled[23] into separate hotel and gaming interests. This resulted in Tsogo Sun Hotels (now Southern Sun) and Tsogo Sun Gaming being separately listed on the JSE. In February 2022 Hospitality Property Fund[24] delisted from the JSE and became a wholly owned subsidiary of Southern Sun (previously known as Tsogo Sun Hotels).

In May 2022 Tsogo Sun Hotels rebranded[25] back to Southern Sun and in August of the same year the JSE listing changed to SSU[26] completing the rebranding process.

Brands

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Southern Sun operates six hotel brands[27] and eight individually branded luxury properties.

  • Individually Branded Luxury Properties: 54 on Bath, Arabella Hotel, Golf & Spa, Beverly Hills, InterContinental Johannesburg O.R. Tambo Airport, Sandton Sun, Sandton Towers, Mount Grace Hotel & Spa, and Paradise Sun.
  • Southern Sun Hotels are a full service group of properties. These properties are 4-star graded properties.
  • Southern Sun Resorts are a collection of holiday resorts in locations near the Kruger National Park, uMhlanga Rocks, the central Drakensberg and Plettenberg Bay. These resorts include timeshare accommodation.
  • SunSquare are full service properties in urban locations.
  • Garden Court is a mid-tier brand widely located in South Africa and in one location in Kitwe, Zambia.
  • StayEasy are a budget brand with a focus on business travel.
  • SUN1 are focused at budget travellers with rooms designed for three sharing.

Notable Properties

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Arabella Hotel, Golf & Spa

Beverly Hills - South Africa's first five star property[28] is located at 1 Lighthouse Road in uMhlanga, KwaZulu-Natal. In 2014 the hotel commemorated being in operation for 50 years.

Arabella Hotel, Golf & Spa - The property was added to the Southern Sun group in April 2020.[29][30] The property is located in the Kogelberg Biosphere,[31] a UNESCO World Heritage Site.

Southern Sun Elangeni & Maharani - The hotel on Durban's Golden Mile has 734 rooms, making it the largest hotel (by number of rooms) in South Africa.

The country's second largest hotel (by number of rooms) is the Southern Sun Waterfront hotel in Cape Town.

Paradise Sun - The only resort on Côte d’Or Beach on Praslin island in the Seychelles.

Beverly Hills hotel in uMhlanga

Sandton Sun & Towers - In 2022 Southern Sun rebranded[32] the InterContinental Sandton Towers Hotel to Sandton Towers.[33] The two properties offer a combined 557 rooms. Sandton Towers uniquely has direct access to the Sandton Convention Centre, and Sandton Sun is the only hotel on Sandton Sun's Diamond Walk.

Beacon Island – Located in Plettenberg Bay, this resort is one of South Africa's longest running hotels. The property is notable for its architecture[34] inspired by Frank Lloyd Wright's Guggenheim museum design. In 2022 the property commemorated 50 Years of operation.

Sandton Convention Centre

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The Sandton Convention Centre is one of South Africa's largest multi-purpose event and conference venues. The centre has 22,000m² over seven storeys, and can host up to 10,000 visitors. Since opening in 2000 it has hosted events such as Miss World, the Arnold Classic South Africa, and FIFA World Congress.

References

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  1. ^ "Southern Sun Ltd. (SSU) JSE:SSU share price - Click a Company". Moneyweb. Retrieved 2022-11-17.
  2. ^ "SSU Southern Sun Ltd. Intraday trading data". www.sharedata.co.za. Retrieved 2022-11-17.
  3. ^ "Obituary | Sol Kerzner, a perfectionist with a short fuse". Businessinsider. Retrieved 2022-11-17.
  4. ^ "Southern Sun rebrands as Tsogo Sun – HOTELSMag.com". hotelsmag.com. Retrieved 2022-11-17.
  5. ^ "Goodbye Tsogo Sun - Southern Sun comes full circle with rebrand". CapeTalk. Retrieved 2022-11-17.
  6. ^ "Sandton Convention Centre | Sandton City | We are The City". sandtoncity.com. Retrieved 2022-11-17.
  7. ^ "Sandton Convention Centre". Sandton Central. Retrieved 2022-11-17.
  8. ^ "Southern Sun is now on Travelinfo". Travel News. 2022-07-13. Retrieved 2022-11-17.
  9. ^ "Southern Sun Hotel reservations". www.southafrica.to. Retrieved 2022-11-17.
  10. ^ Joyce, Liam Karabo. "Hotel's history of highlights". www.iol.co.za. Retrieved 2022-11-17.
  11. ^ "Beverly Hills Hotel". Durban Tourism. 29 May 2020. Retrieved 2022-11-17.
  12. ^ "History". Sun International. Retrieved 2022-11-17.
  13. ^ "Southern Sun Hotel reservations". www.southafrica.to. Retrieved 2022-11-17.
  14. ^ Ltd, Sharenet (Pty) (2011-08-12). "TSH - TSH - Tsogo Sun Holdings Limited - Acquisition of an additional effective - 08/12/2011". SHARENET - Your Key To Investing on The JSE Securities Exchange - South Africa. Retrieved 2022-11-17.
  15. ^ "Accor Sells its 52.6% Stake in Formula 1 Hotels in South Africa". Hospitality ON. Retrieved 2022-11-17.
  16. ^ Reuters Staff. "Liberty to sell hotel assets to Tsogo Sun JV for $72 mln". U.S. Retrieved 2022-11-17. {{cite news}}: |author= has generic name (help)
  17. ^ "Sandton convention centre opens". News24. Retrieved 2022-11-17.
  18. ^ "New vision for Tsogo Sun". Bizcommunity. Retrieved 2022-11-17.
  19. ^ "Company Annoucements [sic]:A Blueprint For Success In Sun1". www.engineeringnews.co.za. Retrieved 2022-11-17.
  20. ^ "UPDATE 2-SABMiller selling stake in S.Africa's Tsogo Sun to free cash for beer business". Reuters. 2014-07-07. Retrieved 2022-11-17.
  21. ^ "SunSquare and StayEasy City Bowl officially open with star-studded launch". Hospitality Marketplace. Retrieved 2022-11-17.
  22. ^ "Southern Sun Rosebank rebrands, refurbishes and launches new grillhouse". Hospitality Marketplace. 2020-03-02. Retrieved 2022-11-17.
  23. ^ "Tsogo Sun Holdings completes unbundling of hotel division on the JSE · CFO South Africa". CFO South Africa. 2019-06-13. Retrieved 2022-11-17.
  24. ^ "Tsogo Sun Hotels to acquire all of Hospitality Property Fund". BusinessLIVE. Retrieved 2022-11-17.
  25. ^ "Tsogo Sun Hotels name change approved". CAJ News Africa. 2022-07-21. Retrieved 2022-11-17.
  26. ^ "SSU Southern Sun Ltd. SENS and News". www.sharedata.co.za. Retrieved 2022-11-17.
  27. ^ "Southern Sun Brands | Southern Sun Hotels, Garden Court & More". Southern Sun. Retrieved 2022-11-17.
  28. ^ "Sol Kerzner quits - but you haven't heard the last of him". TimesLIVE. Retrieved 2022-11-17.
  29. ^ Briedenhann, Jeanette (2020-02-24). "Arabella Hotel, Golf & Spa joins Tsogo Sun portfolio of properties - Inside Travel". Retrieved 2022-11-17.
  30. ^ "Tsogo Sun takes over Arabella Hotel". www.capetownetc.com. Retrieved 2022-11-17.
  31. ^ "The Kogelberg Biospehere Reserve | Nature for Life". kogelbergbiosphere.org.za. 2021-11-15. Retrieved 2022-11-17.
  32. ^ "IOL | News that Connects South Africans". www.iol.co.za. Retrieved 2022-11-17.
  33. ^ "United: Sandton Sun Hotel And Sandton Towers Now One - Sandton Times". sandtontimes.co.za. 2022-08-01. Retrieved 2022-11-17.
  34. ^ "Beacon Island Lifestyle Resort hotel refurbished in record time – The Gremlin | Plettenberg Bay News". 21 November 2011. Retrieved 2022-11-17.
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