‘No misrepresentation of track record’ in Therme Group unit’s tender bid for S$1 billion wellness project: STB
An NYT report had accused Therme of exaggerating its track record to secure a previous deal in Toronto
[SINGAPORE] There was “no misrepresentation of track record” in Therme Group Singapore’s submission for the tender to build Singapore’s first dedicated wellness attraction, said the Singapore Tourism Board (STB) on Wednesday (Nov 5).
STB was responding to media inquiries on a New York Times investigative report in April accusing Therme Group of misrepresenting itself with false claims in a similar bid to secure a deal to run wellness facilities in Toronto, located in the province of Ontario in Canada.
European spa operator Therme Group’s Singapore unit – helmed by former minister Mah Bow Tan – on Tuesday won a tender to develop a S$1 billion wellness attraction in Marina South. It is set to open by 2030.
According to the NYT report, Ontario auditors in 2024 found the selection process for Therme’s 2019 Toronto bid had been “unfair and opaque”.
The report accused Therme of inflating its track record and other false claims when it presented itself as an experienced spa operator with as many as six spas in Europe, but had built and operated just one outside Romania.
In response to The Business Times’ queries, a Therme spokesperson said: “The premier of Ontario and the minister of infrastructure had confirmed that Therme’s proposal met the required standards and passed the necessary evaluations.”
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Subsequent to the hullabaloo over the Ontario project, new partners and backers joined Therme Group. In June, CVC Capital Partners and Therme Group announced a joint venture to invest in the development of spa resorts. The joint venture’s set-up was completed in August.
Called Therme Horizon, it was created in a deal worth more than one billion euros (S$1.5 billion) and comprises Therme Erding in Germany and Therme Bucharest in Romania.
CVC also said it was co-investing in the development of Therme Manchester, which is expected to open in 2028 as the largest water-based wellness destination in Europe.
Therme Group’s current resort development locations include Frankfurt, Toronto and Washington.
An STB spokesperson said the tender for the Singapore project was awarded following a “comprehensive evaluation process”.
“The tender submissions were evaluated according to the published evaluation criteria and due diligence checks were carried out to verify all submitted information and ensure compliance with requirements,” STB said in a statement.
“There was no misrepresentation of track record in Therme Group Singapore’s submission for the tender for a wellness attraction at Marina South Coastal site,” it added.
The evaluation criteria for Therme Group Singapore’s tender win included its track record and financial strength, said the STB spokesperson. It also included the development concept, quality of physical infrastructure plans and its complementarity to other surrounding developments in the precinct.
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