Browns Investments Acquires Luxury Hotel in Mauritius
Main Photo: The Radisson Blu Azuri
Date: July 2021
Name: The Radisson Blu Azuri Resort & Spa, Mauritius
Location: Haut Rive, Riviere du Rempart, Mauritius
Number of Keys: 100
Seller: BlueLife, owners of PL Resort Limited, which owns the luxury resort in Mauritius, the Radisson Blu.
Buyer: LOLC Holdings PLC’s strategic investment arm, Browns Investments through its subsidiary, BI Leisure Holdings is on the lookout for more hotels in Mauritius on the back of acquiring PL Resort Limited, and in such similar destinations, senior officials said.
The company is also on the acquisition mode for hotels locally, they said. “We are on the lookout and also negotiating on buying some more hotels,” a senior Browns official told the Business Times on Thursday. BI Leisure Holdings has been incorporated in the United Arab Emirates and it has entered into a share sales and purchase agreement to acquire PL Resort Limited, which is a private company established in Mauritius owning a 100-room capacity luxury beach resort in Mauritius valued at US$ 12 million, with a purchase consideration of US$ 3.7 million. PL Resort Limited is managed and operated by Radisson Hotel Management Company under the Radisson Blu brand. Browns is also in discussions with owners of some local and foreign leisure companies to acquire some more hotels, according to the official.
Seven months ago, Browns Investments acquired the controlling stake of 55.65% of Serendib Hotel PLC for a consideration of Rs. 792 million. This investment was made by Browns Investments subsidiary leisure company, Eden Hotel Lanka PLC. Last year Browns Investments entered into a management agreement with Barceló, one of the largest global hotel operator chains to manage The Eden Resort and Spa, The Paradise Resort and Spa, Nasandhura, a luxury mixed-use development that consists of a 136-key hotel, 118 apartments, and a retail mall and 100-key property on the island of Bodhufarufinolhu, in Ari Atoll, Maldives. Further, Barceló is to make an equity investment of 30 per cent into the development of Bodufaru three island project, a 470-key three-hotel complex located in North Male Atoll, Maldives.
In addition, Barcelo has entered into a management agreement to manage five Browns Investments’ properties in Sri Lanka and Maldives. The Browns Investments’ portfolio is estimated to hold 2,000 keys across Sri Lanka, Maldives, and Mauritius.
The group has set its sights on expanding its financial footprint globally. “We will also be aggressively looking at companies in the financial sector in Central Asia and Africa,” he said. He noted that LOLC and Browns are exploring opportunities in the financial space in countries like Uzbekistan, Armenia, Azerbaijan, Kazakhstan, Kyrgyzstan, Moldova, Turkmenistan, Tajikistan etc. He added that this is part of their global growth strategy.
Price: Say $12m
Price per Key: $120,000
THPT Comment: Wow, Browns is not hanging around, having built up a great portfolio in the Indian Ocean, now looking to stretch it’s wings into the CIS….well done.
First Seen: The Sunday Times Sri Lanka
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