Authorities in Lagos have revoked the right of Ikeja Hotel to continue occupying the land on which Sheraton Hotel currently sits in Ikeja.
Ikeja Hotel said in an internal memo November 3 that it received a notice from Lagos authorities that the land has been revoked.
The company did not immediately explain the reason for the revocation but said it had challenged it in court. An email seeking clarification from Ikeja Hotels was not immediately returned Friday morning.
The management also warned that the seizure could deplete the company’s asset by N4.63 billion (about $12 million) unless it is reversed.
The November 3 internal memo circulated on social media over the weekend. The company also said in the letter that it lost N1.4 billion (about $3.7 million) after tax in the third quarter of 2020 due to the coronavirus.
It was unclear the nature of the dispute between the Nigerian hospitality giant and Lagos government. A Lagos government spokesman did not answer calls and text messages seeking comments Monday morning.