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Panic as InterContinental Hotels Group Threatens to Exit Nigeria

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By Dipo Olowookere

The fear of being thrown into the already filled labour market in Nigeria is giving employees of InterContinental Hotel in Lagos a lot to worry about.

This is because owners of the business, InterContinental Hotels Group, have threatened to pull out of Nigeria by Thursday, January 18, 2018.

The firm said it was not happy with Messrs Kunle Ogunba, who was appointed the receiver/manager by Skye Bank, following an interim court order.

This displeasure was made known in a notice of termination of the agreement dated January 3, 2018.

“We had, on various occasions, engaged the receiver/manager to ensure the proper management and operation of the hotel as part of IHG’s global hotel network.

“Despite multiple letters issued to the receiver/manager and Milan dated May 18, 2017, June 1, 2017, June 14, 2017, July 18, 2017, October 31, 2017, November 12, 2017, December 15, 2017, requesting the cooperation of the receiver/manager with IHG in order to ensure that the hotel maintains its operating licence and to avoid a material breach of the agreement, a significant amount of fees outstanding in the sum of $3,142,324/NGN995,223,818 owed to IHG remains unpaid and continues to accrue on a daily basis.

“Furthermore, Clause 16.1 empowers IHG to terminate immediately the agreement upon the appointment of an administrator or receiver over the assets of Milan, whereupon the marks, licence and software licence granted for the use of Milan by IHG shall cease; access of the hotel to IHG’s reservations system will be suspended and the management and operation of the hotel by IHG shall terminate.

“Take note that this letter formally serves as notice of termination of the agreement with effect from January 18, 2018,” the letter read.

In January 2012, IHG entered into an international management agreement with Milan Industries Limited, owners of InterContinental Hotel Lagos.

The Milan Group, an Indian family-owned conglomerate with over 40 years of trading in Nigeria, had taken a facility from Skye Bank to part finance the five-star hotel located in Victoria Island, Lagos, and managed by IHG.

The Milan Group, it was gathered, had up till 2021 to pay back the facility but in a curious move, the bank obtained an interim order to take over the management of the hotel.

The takeover did not go down well with IHG, which has severally complained about the manner the receiver/manager has been going about the assignment, culminating amongst other issues: “Failure to pay in full and on time all amounts due to IHG,” developments the British hotel group considers a fundamental breach of the existing agreement.

The IHG also complained in an earlier letter dated December 26, 2017 that it was “highly concerned that the hotel’s payroll has been suspended until after the Christmas holidays”.

“This is a further breach of the agreement, and we insist that all relevant payments are made to hotel employees immediately,” the hotel group said.

IHG further complained that the service delivery level was being impaired by the omissions highlighted in its letters.

But attempts to reach the receiver manager, Mr Ogunba, proved abortive, but a source close to his law firm informed THISDAY that IHG was trying to blackmail both the bank and the receiver manager.

The source said the group had become a leach to the hotel, adding that since the law firm took over the hotel as receiver manager, it had paid the group N173 million.

He said what IHG had failed to acknowledge is that the resources from the hotel can no longer sustain its operations, wondering why the group was always demanding the little the hotel makes.

“They want to use blackmail to get an unfair advantage over the resources of the organisation and that is not fair,” the source said, adding that whatever the grievances, they would be resolved.

“We are currently engaging them in order to resolve the issues,” he noted.

Dipo Olowookere is a journalist based in Nigeria that has passion for reporting business news stories. At his leisure time, he watches football and supports 3SC of Ibadan. Mr Olowookere can be reached via [email protected]

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Travel/Tourism

FAAN to Introduce Facial Recognition at Nigerian Airports

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Lagos airport

By Adedapo Adesanya

The Federal Airports Authority of Nigeria (FAAN) has announced plans to introduce V-Pass, a biometric facial recognition system designed to make passenger processing faster, safer and more seamless across its domestic airports.

According to FAAN, the new technology will allow passengers to verify their identities through facial recognition after a one-time enrolment, reducing reliance on physical identification documents and shortening queues through automated electronic gates.

The authority said the system is expected to enhance airport security while improving the overall travel experience for domestic passengers.

FAAN added that V-Pass has been developed with data privacy at its core and is compliant with the Nigeria Data Protection Regulation (NDPR).

The agency described the initiative as part of its commitment to delivering smarter, technology-driven airport services and said nationwide sensitisation and rollout updates would be announced in due course.

Airports in countries including the United States, the United Kingdom, Singapore and the United Arab Emirates already deploy facial recognition technology for processes such as check-in, security screening, immigration and boarding, so the move also aligns Nigeria’s aviation sector with a growing global trend towards contactless travel.

These systems have been adopted to improve operational efficiency, strengthen security and enhance the overall passenger experience.

For FAAN, the deployment of V-Pass forms part of its broader digital transformation agenda aimed at modernising airport operations and accommodating rising passenger traffic.

Experts say that beyond improving convenience, the authority expects the biometric platform to strengthen identity verification, reduce the risk of impersonation and support more efficient airport security, while maintaining compliance with data protection.

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Honeywell Group Acquires 14.12% Stake in Ikeja Hotel

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Ikeja Hotel

By Aduragbemi Omiyale

About 14.12 per cent stake in Ikeja Hotel Plc has been acquired by Honeywell Group Limited, a notice on the Nigerian Exchange (NGX) Limited has revealed.

Honeywell Group took up the part of the hospitality firm through one of its affiliates known as HGL Real Estate Limited.

Ikeja Hotel, in the disclosure filed with the NGX on July 2, 2026, said the stake comprised 305,323,525 units of its equities.

“Ikeja Hotel hereby notifies the Nigerian Exchange Limited and the general public that it has received notification from HGL Real Estate Limited, an affiliate of Honeywell Group Limited, that it has acquired 305,323,525 units of Ikeja Hotel Plc’s shares, representing 14.12 per cent shareholding in the company,” the notice stated.

Ikeja Hotel is one of Nigeria’s leading hospitality investment and hotel management companies with premium hospitality assets.

It operates two leading hospitality organisations in Lagos, the Sheraton Lagos Hotel and Balmoral Convention Centre.

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Travel/Tourism

Lagos Shuts Down 10 Hotels, Restaurants for Environmental Violations

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LASEPA seals hotels restaurants

By Aduragbemi Omiyale

About 10 hospitality establishments, including hotels and restaurants, were sealed on Wednesday by officials of the Lagos State Environmental Protection Agency (LASEPA).

The affected businesses are located in different locations in the Alimosho Local Government Area of the metropolis, Business Post learned from a statement from the agency.

It was stated that they were sealed by LASEPA for persistent violations of environmental regulations despite repeated warnings, abatement notices, and several opportunities to comply with the agency’s directives.

According to the notice, the enforcement exercise was carried out in line with the directives of the Lagos State government to ensure strict compliance with environmental laws and to safeguard public health.

The affected facilities were said to have breached various environmental regulations, including noise pollution, air pollution, unlawful discharge of untreated effluent, obstruction of official duties, among others.

LASEPA closed the premises of Granduer Meridian at Obasa Akiniyi Street, Oluwaga, Ipaja for non-compliance with the agency’s directives; Lasola (Spazio Bar), located on Ipaja Road, Fatolu Bus Stop, Ipaja, was sealed for noise pollution and non-compliance with directives; Millennium Restaurant, located at Gate Bus Stop, Ipaja, Ayobo, was shut down for non-compliance with directives; O2 Exquisite Suites & Tower on Jimoh Akinremi Street, Jimoh Bus Stop, Akowonjo, was sealed for non-compliance with directives; and Chirozz Hotel & Suites, located on Samuel Street, Akowonjo, by Vulcanizer Bus Stop, Egbeda, was closed for noise pollution and non-compliance with directives.

In addition, House 7 Hotel, located at Remi Akande Street, Egbeda, was sealed for non-compliance with LASEPA’s directives; House 48 on Isiba Oluwo Street, Egbeda, was sealed for non-compliance with directives; Exclusive Hotel, located at Ishan Kimishe, Akesan Bus Stop, was shut down by non-compliance with directives; Sabola Ventures Limited, Iocated at Km 11, LASU–Isheri Road, Igando, was shut down for operating without evidence of an Effluent Treatment Plant (ETP), and discharging untreated effluent into public drains; and City Int’l Motel, located at Chief Olu-Adegbite Street, off Oladun Street, Council Bus Stop, Idimu, was sealed for non-compliance with directives.

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