Consistent with its expansion activity, Hyatt Hotels Corporation (H - Free Report) recently announced the opening of the hotel - Hyatt Regency Chongqing – under its Hyatt Regency Brand. The opening marks the debut of Hyatt Regency brand in Southwest China.
Located at the eastern edge of Sichuan Basin, Chongqing is one of the four direct controlled municipalities in the People's Republic of China (PRC) and the only one among them in inland China. The city has a remarkable history and also serves as the economic hub of the upstream Yangtze basin. Moreover, the city is also a key manufacturing centre, transportation hub, and one of the emerging megacities of China. Some of the major tourist attractions include – the Yangtze Gorges region, Dazu Grotto, Gold Buddhist Mountain, the Fishing Town and bamboo handicrafts.
Situated in Jiangbei District and the shopping area of Bei Cheng Tian Jie, Hyatt Regency Chongqing compliments the vibrant city of Chongqing. It is in close proximity to all the major commercial and industrial zones of the city. Comprising basic and modern amenities, the hotel caters to both business and leisure travelers.
The Hyatt Regency is the vivacious brand of Hyatt Hotels and aims to attract both the business and leisure groups. The hotels are mainly located in urban, suburban, airport, convention and resort destinations across the world. As of now, the brand owns more than 145 hotels, comprising around 67,900 rooms, across the world.
Apart from the new hotel, the Hyatt Regency brand already owns several hotels in China - Hyatt Regency Dongguan, Hyatt Regency Guiyang, Hyatt Regency Hangzhou, Hyatt Regency Hong Kong, Sha Tin, Hyatt Regency Hong Kong, Tsim Sha Tsui, Hyatt Regency Jinan, Hyatt Regency Jing Jin City Resort and Spa and Hyatt Regency Tianjin.
The southwest of China has emerged as one of the attractive spots in the country’s booming tourism industry. It boasts of tourist destinations such as Sichuan, Yunnan and Guizhou, the Guangxi Zhuang and Tibet autonomous regions, and Chongqing Municipality. The region is currently tapping tourist resources for the strong development of tourist industry in the country in the coming years. The World Tourism Organization (UNWTO) expects an annual increase of 43 million international tourists over the next 20 years and the number is projected to rise to 1.8 billion by 2030. As a matter of fact, Hyatt has several other major brands hotels slated to open in China in the coming years.
However, the market is not free of competition. Several major hoteliers like InterContinental Hotels Group (IHG - Free Report) , Starwood Hotels & Resorts Worldwide, Inc. and Marriott International Inc. (MAR - Free Report) are poised to beef up their portfolio in the country.
Hyatt Hotels recently reported second quarter 2012 adjusted earnings of 24 cents per share, beating the Zacks Consensus Estimate by a penny. We presently have a long-term Neutral recommendation on the stock. Also, the company carries a Zacks #3 Rank (short-term Hold rating).