IHG drops Pegasus' property management system

DALLAS -- InterContinental Hotels Group (IHG) will no longer use PegasusCentral Property Management System (PMS), according to Pegasus Solutions.

IHGs Holiday Inn Express brand hotels currently use the system.

After a careful evaluation with IHG, we concluded that we could not meet their needs with PegasusCentral and generate the kind of revenues and profitability that we expect from our products and services, said John Davis, president and CEO of Pegasus in a statement.

Pegasus said there would be no new installations of the system, although it would continue to support PMS during a short transition period.

Meanwhile, Pegasus also said it intends pull out of the property management business and sell all or part of the PMS to an interested buyer. Pegasus estimates that the PMS business will be sold within one year.

Its PMS products have both chain and independent hotel customers, including a private-label PMS for Best Western hotels.

Weve had a long run in the property management system business, said Davis, and while we will no longer develop our own system, we intend to work closely with a number of property management companies to ensure their products integrate with our central reservation and distribution products.

To contact the reporter who wrote this article, send e-mail to Michael Milligan at [email protected].

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