The Pif Saudi sovereign wealth fund looks to be ready to acquire 49% of Rocco Forte.
Pif is expected to take over 23% from CDP and a further 26% from the shareholding family
According to the Il Sole 24 Ore newspaper, Riyadh's Public Investment Fund has beaten off an industrial operator (Lvmh according to other rumours. Ed.) in the race to select a new financial partner for the company. The operation started the end of the year under the guidance of Rotschild, and it seems that Pif is preparing to pay €76 million for the 23% acquired by Cdp Equity in 2014, to which should be added a further 26% stake directly taken over from the shareholding family. The group’s overall valuation is said to exceed €1.2 billion, well above the almost €350 million estimated at the time of Cdp's entry.
Sir Rocco Forte’s company owns 14 hotels and 1,500 keys
But things have changed a lot in the last eight years. Back then Sir Rocco Forte's company, which will continue to retain control after Pif's entry, was under financial pressure, and it had grown a lot, especially in Italy, moving from three to seven properties. Today the group has 14 hotels and 20 villas with more than 1,500 keys, plus 42 bars and starred restaurants. And other projects are said to be in the pipeline. 2022 closed with a turnover of around €340 million and gross operating margins of some €68 million.
