
Hospitality Experience
Commercial Due Diligence of Dalmacija Hoteli Portfolio
Horwath HTL was engaged to conduct commercial and operational due diligence for Dalmacija Hoteli d.d., a company holding majority stakes in two hotel operators managing a combined portfolio of 11 properties in Croatia.
This engagement was part of the client’s evaluation of a potential acquisition, aiming to assess the assets’ market position, operational performance, and strategic value.
Project scope
Horwath HTL was engaged to conduct commercial and operational due diligence for Dalmacija Hoteli d.d., a company holding majority stakes in two hotel operators managing a combined portfolio of 11 properties in Croatia. This engagement was part of the client’s evaluation of a potential acquisition, aiming to assess the assets’ market position, operational performance, and strategic value.
Our team began with a detailed commercial due diligence process, analyzing the portfolio’s market positioning, revenue streams, and overall competitiveness within Croatia’s hospitality sector. Key metrics, such as occupancy rates, Average Daily Rate (ADR), and Revenue per Available Room (RevPAR), were evaluated across all properties. This analysis provided insights into the properties’ financial performance and growth potential within their respective market segments.
Simultaneously, the operational due diligence focused on identifying efficiencies and risks in the management and operations of both hotel companies. This included a thorough review of departmental performance, cost structures, and revenue management practices. On-site evaluations were conducted to assess service quality, asset conditions, and operational workflows, ensuring a holistic understanding of the portfolio’s strengths and challenges.
In addition to our direct efforts, Horwath HTL coordinated with specialized teams managing financial, tax, and legal due diligence. This integrated approach ensured that all aspects of the acquisition were thoroughly analyzed, providing the client with a comprehensive view of the opportunity.
Our findings delivered a nuanced evaluation of Dalmacija Hoteli d.d. and its subsidiaries, identifying both the potential value and strategic risks associated with the acquisition. This comprehensive assessment equipped the client with the insights necessary to make an informed decision, aligning their investment strategy with market opportunities and operational realities. The project underscored Horwath HTL’s capacity to deliver multifaceted due diligence solutions in complex hospitality transactions.
Project Location
Croatian Islands, Croatia