Room Mate, the hotel group founded and run by Kike Sarasola, has entered bankruptcy proceedings. The company disclosed this development in a formal statement released earlier today.
According to the statement, Room Mate submitted to the Dean of Madrid Commercial Courts a request for voluntary bankruptcy accompanied by plans to sell a manufacturing unit. The filing also notes a binding offer from an investor that would maintain business continuity and ongoing operations.
Importantly, the procedure affects only Room Mate SA and not the other entities within the group. The hotel chain stated that it is pursuing this route to protect the sustainability and continued commercial activity of the brand.
During the bankruptcy process, operations are expected to proceed in a normal fashion according to the company, with no anticipated disruption to guest services or daily activities.
It was in a state of technical bankruptcy for some time.
Room Mate explains that the decision to file for this form of insolvency stems from a challenging economic period in the tourism sector, which was compounded by the effects of the pandemic and issues with investor Sandra Ortega, the eldest daughter of Amancio Ortega. Ortega has supported Room Mate in the past through the ROSP Corunna family office.
The company notes that it has faced financial difficulties for an extended period, including a negative net worth for more than ten years. This condition is described by Room Mate as a form of technical bankruptcy that has persisted despite a period of recovery in tourism activity in Spain.
Allegations related to forged signatures were raised by Ortega against a former ROSP Corunna executive, with three complaints filed. A judge later addressed and filed those complaints, leaving the matter resolved in the legal record. The situation underscores ongoing tensions between the company and its longtime investor partner, and it has been a notable factor in the broader financial challenges faced by the group.
Observers note that technical bankruptcy processes are designed to stabilize a company’s finances while preserving value for creditors and stakeholders. By pursuing this route, Room Mate aims to safeguard its brand and maintain continuity for guests, employees, and partners. The deal with the investor offers an avenue for ongoing operations should the terms be accepted, while the court-supervised process provides a framework for restructuring and potential asset sales.