Skip to content Skip to Search
Skip navigation

Abu Dhabi fund buys share of hotel group in Spain

By Gavin Gibbon
Abu Dhabi Spain Melia
The portfolio includes the ME hotel in Madrid
  • Equity Inmuebles hotels across Spain
  • Deal passed by European Commission
  • Sovereign wealth fund assets exceed $708bn

Coral Reef, a subsidiary of Abu Dhabi Investment Authority, and Melia Hotels International have received approval to acquire a portfolio of 17 hotels from Equity Inmuebles in Spain and the Canary Islands.

Financial details around the acquisition were not revealed.

The deal was given the green light by the European Commission under EU merger regulations.

It will see Coral Reef and Melia Hotels take joint control of 12 properties and businesses owned by Equity.

Coral Reef will take sole control of a further three.

Melia – which is based in Mallorca and operates hotels in Asia, Europe, Middle East, Africa, South, Central and North America and the Caribbean – will be in complete charge of two Equity properties and businesses.

“The Commission concluded that the proposed acquisition would raise no competition concerns because of its limited impact on the market,” said a statement by the European Commission.

Another Abu Dhabi Investment Authority subsidiary last month joined Singapore’s private equity real estate firm SC Capital Partners and Goldman Sachs Asset Management in acquiring 27 hotels from Japanese developer Daiwa House Industry in a $900 million deal.

The Abu Dhabi sovereign wealth fund manages assets in excess of $708 billion.

Latest articles

Saudi aluminium producer Talco is offering 12 million shares

Aluminium producer Talco announces Saudi IPO

Aluminium producer Al Taiseer Group Talco Industrial Company (Talco) is the latest entity to reveal initial public offering (IPO) plans in Saudi Arabia. The Riyadh-based company, which was set up in 2009, is offering 12 million shares, a 30 percent stake, on the Saudi Exchange (Tadawul) at a nominal value of SAR10 ($2.67) per share. […]

One of the four restaurants in the Palazzo Versace Dubai hotel, which is listed on the Emirates Auction website

Palazzo Versace hotel sale aims to ride Dubai tourism wave

Owners of Dubai’s ultra-luxurious Palazzo Versace hotel are looking to capitalise on the emirate’s tourism boom before it peaks, offering it for sale at nearly AED1.4 billion ($380 million). A source familiar with the asset told AGBI the hotel is being “readvertised” as it has not found a buyer willing to meet its price tag […]

Wind turbines in Bozcaada, Turkey. The country wants to strengthen its renewable energy sector by developing the solar power market

Turkey’s renewables scheme given $1bn by World Bank

The World Bank has signed a $1 billion programme with Turkey to fast-track the nation’s renewable energy expansion initiatives. The financing comprises €600 million ($657 million) in loans from the International Bank of Reconstruction and Development, $30 million from the clean technology fund, and $3 million in grant funding from the World Bank’s energy sector management assistance […]

Mark Foster, who played professional rugby for Gloucester and now heads LIV Golf, says the sport is ripe for investment

LIV Golf chief says rugby next in line for Gulf funds

Talks are taking place with sovereign wealth funds and private equity entities about potential Gulf investment in rugby, according to Mark Foster, senior vice president of finance operations at Saudi-backed LIV Golf Investments. Foster, a former Gloucester and Exeter Chiefs professional rugby player, told The Good the Bad & the Rugby podcast that discussions have […]