Abu Dhabi Group takes 80 percent stake in Kempinski Tbilisi

FROM THE REDACTION

The Abu Dhabi Group and Capital Vostok have announced the closure of a deal regarding Kempinski Hotel Tbilisi as the 3rd major investment in Georgia conducted by the Dhabi Group after Warid Telecom, obtaining the Kor-Bank license and its recent acquisition of Standard Bank.

The Abu Dhabi Group has become the owner of an 80 percent stake in the Kempinski Hotel project which is under construction in the center of Tbilisi, while the 20 percent will remain in the ownership of Capital Vostok.
The cost of the Kempinski Hotel construction is currently estimated at USD 110 million. The construction process was launched by the Aword Company in 2007. Though the initial basic line of the project remains the same, deadline and construction timelines will be re-evaluated.
An Abu Dhabi Group delegation headed by His Highness Sheikh Nayan Bin Mubarak Al Nayan, the Chairman of the Group’s Management Board and also the Minister of Higher Education and Science of United Arab Emirates (UAE), paid a visit to Tbilisi in February of this year.
The delegation toured the area owned by Kempinski Hotels and Resorts. Abu Dhabi Group, one of the largest investment groups in the Middle East, is already engaged in investment projects in Georgia. The first was made in the country’s banking sector, as the group has founded a branch of Alfalah Bank in Tbilisi under the title KOR Bank, while the second is the telecommunications market, where the group operates under the Warid Telecom Georgia Ltd. title. The total contribution of the Group to the Georgian economy is expected to reach USD 300 million.
The activities of the Abu Dhabi Group will not be limited to the above-mentioned sectors, therefore the search for potentially viable projects will continue.
Abu Dhabi Group has been involved in investing in the Middle East and the countries of Asia and Africa for 40 years. The Group, the value of whose whole portfolio exceeds USD 10 billion, currently owns interests in several banks, insurance companies and telecommunications businesses.
Alongside significant activity in the banking sector and telecommunications field the Dhabi Group is well-known for its remarkable investments in real estate, mainly hospitality related businesses. The Group has expertise in running 5-star hotels in the Middle East and Asia under different brand names.
Kempinski, a leading international brand, is a luxury hotel group which was founded in 1897. It is a member of the Global Hotel Alliance encompassing 160 upscale and luxury hotels with over 46,000 rooms in 41 different countries. Kempinski Hotels now owns and operates an international portfolio of 60 hotels. A further 43 hotels are either under final development or construction throughout the world.

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