Mantra Group Ltd. agreed to purchase for roughly A$52.5 million The Art Series Hotel Group, which manages seven luxury hotels in key Australian cities.

Each of the seven four- to five-star hotels in the Art Series portfolio is inspired by Australian artists, the group said. Altogether, the hotel assets feature more than 1,000 hotel suites and apartments.

Completion of the acquisition, which will be funded using the group's existing cash and debt facilities, is expected in late 2017, once necessary conditions are satisfied.

Mantra Group disclosed that it expects The Art Series Hotel Group to contribute between A$8.5 million and A$9 million to its underlying EBITDA a year after the acquisition.

As of Aug. 4, US$1 was equivalent to A$1.26.