Belmond Group, the hotel and leisure chain, has been acquired by French luxury goods conglomerate Moët Hennessy Louis Vuitton (LVMH) in a deal worth for £2.55bn ($3.2bn).
The sale, expected to be completed during the first half of next year, values Belmond’s equity at (£2.07bn) $2.6bn, and also includes its debts, taking the total value to £2.55bn ($3.2bn).
Established over 40 years ago, the company operates in 24 countries and owns, part owns or manages 46 luxury hotels and restaurants. It also operates luxury train and river cruises.
Notable properties in Belmond’s portfolio include: Le Manoir aux Quat’Saisons in Oxfordshire (pictured), Hotel Cipriani in Venice, Hotel Splendido in Portofino, Copacabana Palace in Rio de Janeiro, Grand Hotel Europe in St. Petersburg, Maroma Resort & Spa in Mexico, Hotel das Cataratas in the Iguassu National Park in Brazil and Cap Juluca in Anguilla.
In the 12 months ended September 30, 2018, Belmond recorded total revenues of £453m and adjusted EBITDA of £111m.
Roland Hernandez, chairman of the board of directors of Belmond, said, “The board has concluded that this transaction with LVMH provides compelling and certain value for our shareholders as well as an exciting path forward with a group that appreciates Belmond’s irreplaceable assets and strong management team.”
Roeland Vos, Belmond’s president and CEO, added, “Today’s announcement is the result of the strong execution of our strategic vision that builds on our pioneering legacy and is an exciting development for all stakeholders, including our employees.
“We are confident that, as part of LVMH’s world-class family of brands, Belmond’s ability to deliver timeless, one-of-a-kind luxury experiences will reach new levels.”
