EVT buys QT Auckland in $87.5m deal: hotel portfolio gets a boost

EVT grows its strategic hotel portfolio with the acquisition of QT Auckland and updates on future expansion plans.

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Key points

  • EVT Ltd is set to acquire QT Auckland for NZ$87.5 million (~A$76 million), enhancing its owned hotel portfolio and expanding the QT brand in the region, while divesting Rydges Geelong for $24.5 million as part of its capital recycling strategy.
  • This acquisition strengthens EVT's presence in Auckland's vibrant Viaduct precinct, aligning with its focus on high-performing city hotels and supporting long-term brand growth in key markets.
  • With shares up 15% over the past year, EVT is poised for further growth through QT brand expansion, portfolio optimisation, and strategic investments aimed at maximising shareholder returns.

The EVT Ltd (ASX: EVT) share price is in focus after the company announced it will acquire QT Auckland for NZ$87.5 million (~A$76 million), strengthening its owned hotel portfolio and extending its QT brand presence in the region.

What did EVT report?

  • Acquisition of QT Auckland, a 150-room premium lifestyle hotel, for NZ$87.5 million (~A$76 million)
  • Strategic expansion aligns with hotel division growth strategy and asset ownership in key city locations
  • Divestment of Rydges Geelong for $24.5 million as part of capital recycling initiative
  • Completion of both transactions expected early in the 2026 calendar year
  • QT Auckland has won multiple industry awards since opening in 2020

What else do investors need to know?

This acquisition secures long-term brand presence for EVT in Auckland's vibrant Viaduct precinct—an area popular with business and leisure travellers. The purchase cements EVT's strategic approach to focus on high-performing hotels in major city locations.

Funds from the sale of Rydges Geelong, described as a non-core asset, will be redirected to support this investment. EVT's asset recycling program is designed to strengthen its property portfolio and improve profitability by investing in flagship locations.

The QT brand continues to grow both locally and internationally, with new openings such as QT Singapore and plans for QT Parramatta to open in 2027.

What did EVT management say?

EVT CEO Jane Hastings said:

We are pleased to secure ownership of one of our flagship QT hotels, reinforcing our commitment to growing earnings from owned hotel assets and advancing our broader hotel brand strategy. This investment also complements the upcoming conversion of our Queenstown property to the QT brand, which will be an exceptional property in one of our strongest markets, with Auckland serving as a key feeder market for international visitors to Queenstown.

What's next for EVT?

Looking ahead, EVT plans to complete both the QT Auckland acquisition and the Rydges Geelong sale in early 2026, subject to conditions being met. The company aims to drive further growth with its asset-light QT brand expansion, hotel management agreements, and innovative brand extensions such as qtQT cabins.

Management has highlighted a focus on portfolio optimisation, international market entry, and ongoing capital recycling to maximise returns for shareholders. The opening of QT Parramatta and further brand rollouts are expected to complement the Group's growth strategy.

EVT share price snapshot

Over the past 12 months, EVT shares have risen 15%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has increased 7% over the same period.

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Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

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