Worldwide: An all-cash deal will see Cascade Investment increase its stake in Four Seasons Hotels and Resorts to 71.25 per cent.
Cascade Investment has agreed to acquire half of the existing 47.5 per cent stake owned by the hotel chain’s long-term shareholder, Kingdom Holding Company (KHC). Cascade purchased the stake for $2.21 billion, valuing Four Seasons at a $10 billion enterprise value.
The deal will therefore see Cascade increase its 47.5 per cent stake to 71.25 per cent. Four Seasons founder and chairman Isadore Sharp will retain his five per cent stake through Triples Holdings Limited.
CEO at Four Seasons, John Davison, said: “As we mark our 60th anniversary and look back on the profound impact that Four Seasons has had on luxury hospitality we also look forward with tremendous excitement and confidence in the future of the industry. The unwavering support and partnership of our shareholders has and continues to be critical as we capitalise on growing opportunities to serve luxury consumers worldwide.”
The sale is expected to close in January 2022, pending regulatory approvals and other closing conditions.
Four Seasons manages 121 hotels and resorts worldwide, along with 46 residential properties. It has a pipeline of more than 50 projects at various stages of development.
Kingdom Holding Company has ownership and interests in properties such as George V in Paris, the Savoy Hotel in London, and managing The Plaza in New York via Fairmont. The group’s global hotel brands include the Four Seasons and several under Accor (Fairmont, Raffles, Movenpick, Swissotel and Sofitel).