Kathrine Frich
Hundreds of hotels are now caught in a restructuring process that could reshape the continent’s travel market.
A major shake-up is rippling through Europe’s hospitality sector after a rapid period of expansion gave way to financial strain.
The fallout is being closely watched by staff, partners and guests across multiple countries.
Sudden collapse
Revo Hospitality Group, Europe’s largest white-label hotel operator, has filed for insolvency under self-administration, according to reporting by the Daily Express.
The company, formerly known as HR Group, manages hotels on behalf of owners without operating under a single house brand.
Founded in 2008, the group runs more than 260 hotels across 12 European countries and 146 cities.
These include properties under major franchise names such as Hilton and ibis Styles, alongside its own brands including Hyperion.
Last week, Revo said around 140 companies within the group had filed for insolvency proceedings at Berlin’s Charlottenburg District Court.
Hotels still open
Despite the filing, Revo said many operations would continue.
“The approximately 125 hotels in Germany and Austria will continue to operate with all 5,500 employees,” the company said, adding that the process would be overseen by court-appointed administrators.
Most of Revo’s properties are located in Germany, with others spread across countries including Switzerland, France, the Netherlands, the Czech Republic, Italy, Poland and Spain.
The group said it expects to complete a restructuring under self-administration by the summer.
Rising costs
In a statement, Revo blamed a combination of economic pressures for its financial troubles.
The company cited higher wage costs, sharp increases in minimum wages, and rising expenses for rent, energy and food.
“With the economic crisis, 140 companies, including the management and holding company, got into difficulties,” the group said.
It also acknowledged that its rapid expansion in recent years created duplicate structures and integration problems that weighed on the business.
Rapid growth
Revo took over its first hotel in Leipzig in 2008. By 2020, it operated 51 hotels, before expanding aggressively across Europe in the following years.
Reports cited by the Daily Express say the group generated about €1.3 billion in annual revenue and employed roughly 8,300 staff before the insolvency filing.
The company said the acquisition of new hotels involved significant costs, while overnight stays and projected turnover for 2025 failed to meet expectations.
Specialists have now been appointed to stabilise operations and draw up a recovery plan.
Sources: Daily Express
