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Luxury good conglomerate Moët Hennessy Louis Vuitton (LVMH) has acquired the Belmond hospitality group for $2.6bn (£2bn).
The transaction is expected to complete in the first half of 2019, subject to the approval of Belmond’s shareholders and clearance by the relevant competition authorities.
Established over 40 years ago with the acquisition of Hotel Cipriani in Venice, Belmond owns and operates a global collection of hotel and luxury travel experiences. The company operates in 24 countries with a portfolio of 46 hotel, rail and river cruise experiences.
Notable properties in Belmond’s portfolio include Hotel Cipriani in Venice, Hotel Splendido in Portofino, Copacabana Palace in Rio de Janeiro, Le Manoir aux Quat’Saisons in Oxfordshire, 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 $572m (£453m) and adjusted EBITDA of $140m (£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.”
