Rainbow Tourism Group Expands Footprint with Strategic Acquisition of Montclair Hotel and Casino

Staff Reporter

Harare- In a move that is set to bolster its presence in the hospitality industry, Rainbow Tourism Group (RTG) has announced the acquisition of Montclair Hotel and Casino, a premier hospitality destination in the Eastern Highlands of Zimbabwe. The acquisition, which was finalized on November 22, is valued at US$5,39 million and is expected to significantly enhance RTG’s total assets.

The acquisition of Montclair Hotel and Casino is a strategic move by RTG to expand its footprint in the Eastern Highlands, a key tourism and business destination in Zimbabwe. The hotel’s prime location, coupled with its rich history and stunning natural beauty, makes it an attractive addition to RTG’s portfolio of resorts and business facilities.

According to RTG, the acquisition is part of the company’s five-year strategy and growth objectives, aimed at enhancing its presence in the Eastern Highlands and driving long-term value creation for shareholders. The investment is supported by a robust business case, with clear potential for revenue growth through increased market penetration and the expansion of conferencing and hospitality offerings.

This includes the business of Montclair as a going concern, with all its related assets, including the hotel’s room capacity of 85. The deal also involves a portion of land surrounding the hotel, comprising approximately 24 hectares, which will be subject to subdivision. In addition to the hotel and land, the transaction also includes the lease agreement relating to the Claremont Golf Course, as well as various buildings, including the main hotel building, casino buildings, staff housing, and Rayton Apartments in Nyanga township.

RTG believes that the acquisition of Montclair Hotel and Casino will create synergies, including operational efficiencies, enhanced customer experience, and increased revenue growth. By leveraging RTG’s well-established brand equity, Montclair will deliver a seamless, high-quality experience to clients across the group’s portfolio of resorts and business facilities.

The acquisition is also expected to drive growth through increased market penetration and the expansion of conferencing and hospitality offerings. RTG’s robust marketing and distribution network will further elevate Montclair’s visibility, driving increased occupancy and revenue.

In terms of operational efficiencies, Montclair will gain access to RTG’s operational expertise, achieving economies of scale in key business functions. Following the purchase, procurement processes will be streamlined, allowing Montclair to benefit from centralized purchasing power, which will reduce costs for essential goods and services.

Administrative efficiencies will also be realized through shared back-office functions, such as finance, IT, and legal services, enabling Montclair to focus on core operations. RTG’s centralized training programs and talent development initiatives will also enhance staff expertise, ensuring a consistently high standard of service across all departments.

The acquisition of Montclair Hotel and Casino is a significant milestone in RTG’s growth strategy, marking a major expansion of the company’s presence in the Eastern Highlands. As RTG continues to drive growth and expansion in the hospitality industry, the acquisition of Montclair Hotel and Casino is a strategic move that is set to yield significant returns for shareholders.