We noticed you're blocking ads.

Keep supporting great journalism by turning off your ad blocker.

Questions about why you are seeing this? Contact us

Font Size

- Aa +

Wed 4 Aug 2010 10:09 AM

Font Size

- Aa +

Shuaa unit completes sale of stake in Rotana Hotel

Private equity arm of Shuaa Capital finalises sale of stake to Rotana chairman.

Shuaa Partners, the private equity arm of Dubai-based Shuaa Capital, has completed the sale of its stake in Abu Dhabi’s Rotana Hotel Management Corporation.

Shuaa Partners Fund 1 took a 22 percent stake in Rotana in 2006 but last month the chairman of Rotana, Nasser Al Nowais, agreed to buy the share back.

Both parties declined to give a value for the deal but in a statement from Shuaa Capital on Wednesday the firm said the fund had generated a gross internal rate of return of 36 percent and a multiple of 1.95x on its realised investments.

“Rotana has proved an excellent investment for our SHUAA Partners Fund I Limited Partners,” said Sameer Al Ansari, chief executive officer of SHUAA Capital.

“It is particularly pleasing to note that the fund, which completed this exit in the midst of a very challenging economic and financial environment, is believed to be one of few regional private equity funds to return money to Limited Partners this year. The fund’s performance during such a challenging period is second to none.”

Rotana operates 37 properties in across the Middle East and plans to open another 33 before the end of 2014.

Arabian Business digital magazine: read the latest edition online

For all the latest UAE news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.