Le Jardin de Russie at Hotel de Russie in Rome .
DEALS
Saudi Arabia ’ s PIF buys 49 % of Rocco Forte Hotels
By DAVID EISEN
PIF , the sovereign wealth fund of Saudi Arabia , has acquired 49 % of Rocco Forte Hotels , as the oil-rich nation seeks to diversify its holdings .
London-based Rocco Forte Hotels was founded by Sir Rocco Forte and his sister , Olga Polizzi , in 1996 , and currently operates 14 hotels and resorts in Europe , including Hotel Savoy , Florence ; The Balmoral , Edinburgh ; Brown ’ s Hotel , London ; The Charles Hotel , Munich ; Hotel de Rome , Berlin ; and Hotel de Russie in Rome , which was recognized by HOTELS Magazine as the top hotel in the city in its inaugural “ 25 × 25 Top Hotels of the World .”
It is slated to open three more hotels by 2025 : Rocco Forte House , Milan ; The Carlton , Milan and Costa Smeralda , Sardinia .
The value of the transaction was not listed in a formal press release from Rocco Forte , but the The Financial Times valued the deal at $ 1.8 billion , including debt . Rocco Forte called the deal a “ significant minority stake in the group ,” by PIF . While the Forte family will retain majority ownership and control , the Italian entity CDPE Investimenti ( CDPEI ) is selling its entire stake .
PIF has pledged to accelerate expansion of the group with upwards of tens of millions of pounds , The Financial Times further reported . PIF ’ s investment will include an element of primary equity , which will accelerate the brand ’ s expansion in both existing and new global markets .
Sir Rocco Forte will remain executive chairman , alongside Olga Polizzi , who will continue as deputy chairman . He also told the FT that he expected more travel to his hotels from Middle East travelers based on the PIF ’ s investment .
“ PIF is an excellent partner for us going forward ,” said Sir Rocco Forte . “ We have established an extremely good relationship during the course of our negotiations . They share the same vision for the brand and the
90 hotelsmag . com Jan / Feb 2024