S Hotels and Resorts Public Company Limited (SET: SHR) has announced the temporary suspension of operations at Outrigger Mauritius Beach Resort since April 15, 2023, following the detection of Legionella bacteria. The closure is intended to allow for maintenance and the replacement of the hotel’s water management system.
The company is currently assessing the duration of the suspension and its potential financial impact. In 2022, the resort contributed approximately 2.5% of SHR’s total operating profit. To mitigate losses, the company has implemented cost-control measures and optimized manpower management during the temporary closure.
Despite this setback, SHR highlighted that tourism demand remains strong in other key markets, including Thailand, the Maldives, the United Kingdom, and Fiji, with a continuous increase in the average daily room rate (ADR).
Meanwhile, the Mauritius government has recently ordered several businesses, including hotels, to close due to concerns over the spread of Marburg disease, an Ebola-like virus. However, SHR clarified that Legionella, which causes Legionnaires’ disease—a severe lung infection—is not related to Marburg. Unlike Marburg, which spreads through human-to-human contact, Legionnaires’ disease is not contagious.
