RIU bought from TUI its 49% share in 19 hotels for €670M

RIU bought from TUI its 49% share in 19 hotels for €670M

Group RIU will buy from Germanna TUI 49% of 19 hotels which operate under the brand RIU’s own brand RIU Hotels & Resorts, as well as the terrains with projects under construction in Mexico and Senegal.

Up util now, these assets were owned by the two strategic partners, TUI had a 49% share and the RIU family 51%, thus the Mallorcan chain will now control the whole twenty hotels. The operation, already approved by TUI’s board, is estimated at 670 million euro.

Nevertheless, both companies intend to maintain and reinforce their strategic and commercial relation in the long-term. The German company maintains a 50% share in RIUSA II S.A., company which manages and operates RIU’s brand hotels and which created by both companies in 1993.

Covid impact

According to the hotel chain, this operation is related to the crisis provoked by the Covid-19 pandemic, “which has deeply affected the tourist industry. Despite that, and thanks to an extraordinary endebtment effort, RIU continues supporting its startegic and commercial partner on the long-term".

RIU added that after verifying that the ownership model has turned out to be an advantage to face the crisis, the ownership of these 19 hotels will bring na extra agility for possible paradigm changes in the near future.

Some days ago, the Mallorcan group announced it will accelerate the reopening of the hotels closed by the pandemic. Of the 99 hotels which it has across in the world, it will open 17 between this week and the next, initiating the month of July wityh 76 hotels open.

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