Thai company buys six Tivoli hotels for €168.2 million

Portugal’s Tivoli Group has announced that six of its hotels in Portugal and Brazil have been sold to Thai company Minor International (MINT) for €168.2 million.

Of the six hotels sold, four are in Portugal – the Tivoli Lisbon, Tivoli Marina Vilamoura, Tivoli Carvoeiro and Tivoli Marina Portimão. The other two are the Tivoli São Paulo Mofarrej in São Paulo and the Tivoli Ecoresort Praia do Forte near Salvador da Bahia.

According to Diário Económico newspaper, “€117.7 million of the total was used to buy the four Portuguese hotels, while the remaining €50.5 million was used to for the two Brazilian hotels as well as the Tivoli brand’s rights in Brazil”.

The news was confirmed on Wednesday morning (January 28) in an official Tivoli statement, following announcements earlier this month that the hotel chain had sought special government-backed PER funding to keep it afloat until the way was clear for sale to interested investors.

Tivoli Hotels & Resorts has confirmed that the purchased hotels will continue bearing the Tivoli brand, with executive president Alexandre Solleiro stressing that the deal will help “preserve the unity of the brand and its development in the markets it operates”.

Speaking to Bloomberg, a partner at Lisbon-based Neoturis tourism consulting firm said that “the deal is one of the biggest ever in the Portuguese hotel sector”.

“It’s a sign that there is growing interest from foreign investors,” said Eduardo Abreu.

It’s the first step towards recovery for the chain, which fell into financial ruin when Rioforte – the Espírito Santo holding company that owns the Tivoli brand – collapsed along with the rest of the BES empire.

The PER funding – a special process designed to save companies that are economically viable but nonetheless at risk – will help the remaining eight Tivoli hotels with day-to-day running expenses and meeting their debts while they wait for buyers.

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