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Wed 8 Apr 2015 01:59 PM

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Dubai fund ICD inks deals for US, South African hotels

Investment Corporation of Dubai acquires stakes in hotels in Washington DC, New York and Cape Town

Dubai fund ICD inks deals for US, South African hotels
(Photo for illustrative purposes only)

The Investment Corporation of Dubai (ICD), which hold stakes in many of the emirate's top companies, announced on Wednesday that it has made three new acquisitions in the global hospitality sector.

The company said it has acquired the W Hotel in Washington DC, and a majority stake in the Mandarin Oriental in New York, in addition to a minority stake in the One&Only in Cape Town, South Africa.

"The strategic transactions demonstrate the commitment of ICD, the principal investment arm of the Government of Dubai, to continuously expand the reach and expertise of Dubai in a sector considered integral to the growth of the emirate and its economy," the company said in a statement without giving a value for the deals.

Mohammed Al Shaibani, executive director and CEO of ICD, said: "Building on our strong domestic growth in the hospitality and tourism sector, this strategic move reinforces ICD as a serious contender in the global luxury hospitality space.

"ICD has recently made significant progress in developing its hospitality presence domestically, supporting the sustainable economic growth of Dubai. The acquisition of luxury hotels in prime global destinations complements ICD's existing portfolio."

He added: "ICD will continue to be on the lookout for similar additions to its portfolio in the future."

In 2014, ICD completed the acquisition of Atlantis, The Palm, and purchased a significant equity interest in Kerzner International Holdings Limited (KIHL), the international operator of the One&Only, Atlantis and Mazagan brands.

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