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The deal was finalized through Legacy Hotels, a newly established company jointly owned by The Sovereign Fund of Egypt’s Sub-Fund for Tourism, Real Estate Investment, and Antiquities Development, and the Egyptian General Company for Tourism and Hotels (EGOTH)
In a significant move within Egypt’s Initial Public Offering (IPO) program, the Arab Company for Tourism and Hotels Investments (ICON), a subsidiary of Talaat Mostafa Holding Group, has successfully completed the acquisition of seven state-owned hotels in Cairo, Alexandria, and Aswan.
The deal was finalized through Legacy Hotels, a newly established company jointly owned by The Sovereign Fund of Egypt’s Sub-Fund for Tourism, Real Estate Investment, and Antiquities Development, and the Egyptian General Company for Tourism and Hotels (EGOTH).
Under the agreement, ICON has acquired a 39 percent stake in Legacy Hotels, with the option to subscribe to a capital increase that would ultimately grant them a controlling 51 percent stake.
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The total value of the acquisition is estimated to reach USD 800 million once ICON’s ownership percentage in Legacy Hotels reaches the majority threshold. The funding for the deal will come from ICON’s internal resources, with an additional capital increase of USD 882.5 million provided by an international strategic investor.
