GEORGE TOWN: More hotels in Penang are expected to cease operations soon in the aftermath of the Covid-19 global pandemic.

After Jazz Hotel announced yesterday that it is shutting its doors, NST has learnt that two more major hospitality establishments here will follow suit.

The two businesses are Penaga Hotel and Jerejak Island Resort, both of which are managed by VHM Hotel Management Group.

Memorandums similar to Jazz Hotel's, which are circulating on social media, claim that the two establishments will be closed by month's end and their staff will be retrenched.

Malaysian Association of Hotels Penang Chapter chairman Khoo Boo Lim confirmed the hotels' imminent closure, but stressed that the association has yet to be officially informed of the matter.

Meanwhile, a source within the hotel industry said that other hotel operators are feeling the pinch following the coronavirus outbreak, and have been suffering heavy losses over the past few months.

It is said the managements of most hotels here had invested heavily in their operations in expectation of good business during the Visit Malaysia 2020 campaign, which has been cancelled.

https://www.nst.com.my/news/nation/2020/04/587523/more-penang-hotels-close-amidst-covid-19-pandemic