The company behind the Jurys Inn hotel chain lost more than stg£14.5m in 2007, according to newly-filed accounts. Exchange rate fluctuations pushed total recognised losses at Vesway, the vehicle that owns the hotels, to stg£30.7m.

Vesway was set up by private equity company Quinlan Private following the purchase of the Jurys Inn chain from the Doyle and Beatty families for a reported €1.165bn. Vesway's bankers are Anglo Irish Bank, Ulster Bank and AIB. The company had bank loans of more than £561.5m at the end of the financial year and these are due to be repaid in between one and five years. Loan arrangement fees came to stg£9.1m.

It also issued convertible loan notes for €133.5m which can be converted into a fixed number of ordinary shares of the company.

"In line with the group's accounting policy the company has classified the convertible loan notes as equity," the accounts state.

Investors' loans, which are non-interest bearing and are repayable before the end of 2025, came to nearly stg£204m. Quinlan Private executives Olan Cremin and Tom Dowd have an indirect shareholding in the company that purchased the loan notes and which also provided Vesway with an interest free loan of nearly £202m.

Costs relating to the acquisition of Jurys Inns came to stg£7.8m, the accounts show. Vesway's accounts list fixed assets of stg£561m and goodwill of stg£264.77m. The group intends to write off the goodwill over 20 years. Vesway is now 50% owned by Quinlan Private, with the remainder held by the Oman Investment Fund. Shareholders' funds stood at nearly stg£65m at the end of the year.

"The hotel industry's performance is closely aligned to the general economic environment," the directors' report states, saying its low-cost business model reduces the impact of "adverse conditions". It said its banking facilities were subject to compliance with financial covenants and if the group's trading performance deteriorated significantly or if interest costs or debt levels increased significantly, it could breach those covenants.

It has previously been reported that the group ended the year with €1.2bn in fixed assets and with about €58m in cash.

Quinlan Private was founded by Derek Quinlan and recently received the go-ahead from An Bord Pleanála for a large extension to an office building it owns at Molesworth Street in Dublin. Along with Treasury Holdings and developer David Arnold, it is part of the Clyde Road Partnership which recently had a plans for 270 apartments, shops and a leisure centre at Central Park in south Dublin turned down.

The group says it has assets worth more than €11bn under management. It has invested significantly in British, US, Irish and Eastern European property markets, all of which are struggling.