Formosa International Hotels Corp. faces a contract dispute over the Silks Club Kaohsiung as property owner Yumeng Group plans to rebrand the facility as “Hotel Ran Yi” and join Marriott International’s luxury portfolio.
Chairman Pan Siliang condemned the move, comparing it to marital infidelity and declaring the planned August 1 rebrand illegal under existing agreements. The management contract between Regent Hotels and Yumeng Group runs until 2032, according to Pan’s statements.
The 106-room luxury property, which opened in 2017, is reportedly set to join Marriott’s “The Luxury Collection” brand following the ownership change. Yumeng Group has engaged new legal counsel to negotiate contract termination but wants to finalize the exit before discussing compensation terms.
Pan rejected this approach, stating his company has already contacted Marriott to prevent the transition until the dispute resolves. He emphasized that Regent has declined other hotel management opportunities due to this conflict and will demand full compensation to protect shareholder interests.
The property, located in Kaohsiung’s New Bay Area, features premium amenities including a rooftop infinity pool and houses the first overseas location of renowned Japanese restaurant group Ukai. The dispute highlights growing tensions in Taiwan’s competitive luxury hotel market as international chains expand their presence.
