Bangkok-based Red Planet Hotels, a major franchisee of Tune Hotels in South-east Asia, said the deal represented a “significant multi-million dollar transaction” and the largest single corporate investment it has clinched in its two-year history.

The investment in Tune Hotels comes at a time when Red Planet Hotels’ latest round of fund raising was over subscribed, and the company now has US$180 million of hotel projects comprising 3,191 rooms, either operating or under construction in Asia.

Tim Hansing, CEO of Red Planet Hotels (pictured right), said the significant investment and commitment to the Tune Hotels brand was indicative of the hotel chain’s well-balanced long-term development programme.

“As we move towards becoming a major owner and operator of Tune Hotels properties, this investment and endorsement of Tune’s board and management allows Red Planet Hotels to participate and contribute constructively and meaningfully for the benefit of both companies.”

By the end of this year Red Planet Hotels will have 10 operating hotels with 1,623 rooms in Thailand, the Philippines and Indonesia.

Earlier this month the hotel group debuted in Jakarta, Indonesia with a 168-room Tune Hotel and a fourth in the Philippines in Makati with 215 rooms. Later this year, it will open a 130-room Tune hotel in Bangkok’s Asoke district in September, a 143-room hotel in Pekanbaru, Sumatra and a 150-room hotel in Patong, Phuket in December.

Meanwhile, Tune Hotels opened another two hotels in London, the 217-room Tune Hotel Kings Cross on July 9 and the 137-room Tune Hotel Paddington on June 18 (pictured left),  making them the brand’s third and fourth hotels in the city, cementing .the group’s position as one of capital’s leading budget hotel chains.

The two new London hotels are part of the 30, which are being opened globally over the next 12 months.

Mark Lankester, Group CEO of Tune Hotels, said: “More Tune Hotels are scheduled for opening in ASEAN, the UK, India and Australia that will give our guests even more options for travel destinations.”

Tune Hotels is part of the Tune Group, the lifestyle business conglomerate founded by Tan Sri Tony Fernandes and Datuk Kamarudin Meranun, group CEO and deputy group CEO respectively of AirAsia.

Established in 2007 Tune Hotels currently has 24 properties worldwide with 3,859 rooms. On the drawing board are 38 more hotels with 10,106 rooms, including its first hotels in India, Scotland, Australia and Saudi Arabia.