The two groups signed a partnership and management agreement recently, between Barcelo Chief Executive Officer John Cogul and Sarabia president and Chief Executive Officer Salvador Sarabia Jr.
According to Sarabia, the tie-up was the first of its kind in Western Visayas and he expressed optimism that the partnership would allow the family-owned corporation to consolidate and strengthen its position in other value-added segments of the industry.
Sarabia said the company has been in search of a partner for sometime, as part of its strategy to upgrade its facilities and elevate the standard of the hotel industry in the region to world class levels.
"We have nurtured Sarabia Manor Hotel for more than two decades and have grown the company to a size and level of operations which we consider to be world class," said Sarabia. "In the end, we believe that it is to be the best interest of Sarabia and its shareholders to achieve the objective of increasing its standards through an internationally-known management chain," he added.
"I am confident that Barcelo will prove to be an outstanding partner," he said. Barcelo has already established its foothold in Asia with presence in China and the Philippines where it signed a management contract early this year with Barcelo Pearl Farm Island Resort, a five-star resort hotel in the island of Samal in Mindanao.
Barcelo also has pending plans for expansion projects in other Asian markets such as Cambodia, Vietnam, Thailand and Indonesia.
According to Cogul, Barcelo has more than 13,500 employees with a general turnover of $978 million and a profit of $92 million in the year 2000.
Barcelo also has a travel division which included the retail travel agency Viajes Barcelo, with 397 branches and offices worldwide; the tour operator Turavia which accounted for some four million passenger movements last year.
Barcelo has considerable stakes in Globaloa which comprises Air Europa, Spain’s leading private airline, Viajez Halcon, the largest retail travel agency in Spain and First Choice, one of the most important of the European tourism groups.