MANILA, Philippines - The Tiu family owner of the Discovery chain of hotels is keen on raising 3-5 billion most likely likely through an initial public offering in two years time.

This will enable the company to expand its operations in the country and venture into the competitive hotel market in China.

JTKC Land director for corporate planning John Tiu Jr. said The Discovery Group was considering putting up a hotel in China in 2009.

"Maybe the IPO would take us to further expand. Our main plan is to go to China and we are now in the exploratory stage. It's very competitive (in China) but the market is so huge and it is growing rapidly," Tiu said.

Tiu said the hotel group was also exploring sites in Palawan and Bohol for future hotel projects.

The Discovery Group may spend P2 billion to P3 billion for one 250-room luxury resort hotel.

To take advantage of the growing tourist arrivals and a robust local tourism, the Discovery Group is putting up "Discovery Primea," a six-star high-end residential project on the 4,087-square-meter property formerly occupied by the Gilarmi Apartments along Ayala Avenue across Rustan's Makati. Construction of the planned 60-story residential project will start next year.

The Gilarmi service apartments was acquired by the Tiu family from the widowed former beauty queen Armi Kuusela in 1990.

The Tiu family has been involved in hotel development since 1975 when it built Dakota Mansion in Malate. It later put up the Mansion Group of Hotels, a chain of service apartments , hotel and residential suites. Its hotels include Amorsolo Mansion, Mabini Mansion, Boulevard Mansion and Dakota.

The family also owns the Discovery Chain of Hotels, operated by Discovery Leisure Co., which include the 223-room Discovery Suites in Ortigas, the 88-room Discovery Shores in Boracay and Discovery Country Suites Tagaytay.

The Tiu Group, through JTKC Equities, has interests in financial services through iRemit Inc., an overseas money transfer firm, and Sterling Bank of Asia, and in steel manufacturing through listed firm TKC Steel.

[The Philippine Daily Inquirer]