Elegant Hotels : New marketing and sales agreement in St. Lucia

9 March 2017

Elegant Hotels Group plc

New marketing and sales agreement signed with The Landings Resort and Spa

in St. Lucia

Elegant Hotels Group plc ("Elegant Hotels" or the "Group"), the owner and operator of six upscale freehold hotels and a beachfront restaurant on the island of Barbados, is pleased to announce that it has signed a Marketing and Sales Services Agreement (the "Agreement) with The Landings Resort and Spa by Elegant Hotels ("The Landings") in St. Lucia.

The Agreement commences with immediate effect and will involve Elegant Hotels providing The Landings with a variety of services across the areas of sales, marketing, reservations, revenue management and public relations across all key feeder markets. The value of the contract to the Group is expected to be approximately US$200,000 per annum, and the property will be fully branded as part of the Elegant Hotels portfolio as "The Landings Resort and Spa by Elegant Hotels".

The Landings is situated within 19 acres of tropical landscaped gardens in St. Lucia's exclusive Rodney Bay, and consists of 85 villa suites with ocean, beachfront or marina views. The resort's amenities and services include a 7,000-square-foot spa, a state-of-the-art health club, a private marina, three restaurants and two bars, three swimming pools, two tennis courts, an 800-foot beachfront, and an extensive array of water sports.

This will be Elegant Hotels' second hotel offering outside Barbados, following the signing in November 2016 of a management contract with Hodges Bay Resort in Antigua, which is due to open in autumn 2017. The Board of Elegant Hotels continues to believe that arrangements of this kind represent a compelling opportunity for the Group to expand beyond Barbados, given they require far less capital investment than full ownership.

Commenting on the news,Sunil Chatrani, CEO of Elegant Hotels, said:

"We are delighted to have signed this agreement with a luxury property that so clearly reflects our ethos of understated elegance and outstanding customer service. As we said at the time of our IPO in May 2015, St. Lucia and Antigua are the two Caribbean islands beyond Barbados into which we are particularly keen to expand, and we are therefore very pleased to now have a presence in both. We look forward to working with the management team of The Landings in order to combine the high quality of their property with Elegant Hotels' sales and marketing expertise."

For further information:

NOTES TO EDITORS:

Elegant Hotels owns and operates six luxury hotels and a beachfront restaurant, Daphne's, on the island of Barbados. The Group's portfolio comprises 553 rooms, making it twice as large (by room number) as the closest competitor in the Barbados luxury hotel room market. Five of the six properties are situated along the prestigious west coast of Barbados commonly known as the "Platinum Coast". The properties are all freehold, with a total aggregate plot size of approximately 22 acres and an aggregate beachfront of 2,500 feet. In the year ended 30 September 2016, the Group achieved revenues of $57.0 million and EBITDA before non-recurring items of $19.6 million.

Together, the Group's six existing hotels - Colony Club, Tamarind, The House, Crystal Cove, Turtle Beach and Waves Hotel & Spa - offer styles encompassing classic and contemporary, family-friendly and adults-only. Should we add Hodges Bay Resort & Spa here?

The Group's shares were admitted to trading on the London Stock Exchange's AIM in May 2015. Its objective now is to leverage its position as a leading hotel operator in Barbados and to expand both on Barbados and further into the Caribbean, as exemplified by its recent signing of a management contract with Hodges Bay Resort & Spa in Antigua.

Investor website:http://www.eleganthotelsgroup.com/

Commercial website:http://www.eleganthotels.com/