Colony in US$100m Amanresorts deal

PUBLISHED : Tuesday, 17 September, 1996, 12:00am
UPDATED : Tuesday, 17 September, 1996, 12:00am

Amanresorts, the hotel chain with luxury resorts in exotic Asian and South Pacific locations, looks set to expand worldwide in a deal with United States property investor Colony Capital.

Colony said yesterday it would invest, over time, up to US$100 million in the chain's immediate owner, Credicom Asia.

Credicom is owned by publicly listed Belgian company Credicom, in turn 85 per cent owned by Paris-listed luxury hotel owner Societe Immobiliere Hoteliere.

The first stage of the deal, will see Colony will pay $55 million for a 30 per cent stake in Credicom Asia and then up to another $20 million by the end of December next year, bringing its total to 37 per cent.

Denver-based investor Donald Sturm will co-invest with Colony for a quarter of the deal.

Apart from Amanresorts, which consists of 18 hotels existing and under development, Credicom also owns Saresco, France's largest duty-free airport retailer, the L'Ermitage Hotel in Los Angeles and other land for hotel development, including 121.5 hectares overlooking St Tropez in France. Its assets are said to be worth more than $450 million.

Amanresorts hotels include sites in Bali and Java (Indonesia), Thailand and Bora Bora (Tahiti).

Colony described the deal as one of its biggest international investments and 'a major step in expanding the Amanresorts name worldwide'.

Colony owns the Mayfair Hotel in New York and Orchid Hotel at Mauna Lani in Hawaii.

Immobiliere Hoteliere, controlled by the Vaturi family, is a developer of four and five-star hotels and claimstotal assets of $1 billion.