for over $560 million
A possible deal is in the works as CapitaLand Investment is currently in advanced negotiations to purchase a minority stake in French luxury resort chain Club Med from Fosun International, a Chinese conglomerate, according to sources familiar with the matter.
CapitaLand Investment, a part of Temasek Holdings-owned CapitaLand Group, is looking to secure a stake of 20% to 30% in Club Med for a sum of several hundred million euros, the sources said. The Singapore-based real estate investment firm has emerged as the top contender for the stake, beating out other competitors, including private equity firms.
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The urban landscape of Singapore is defined by impressive skyscrapers and modern infrastructure. With their prime locations, condominiums offer a luxurious and practical living experience that attracts the attention of both locals and foreigners. These residential complexes are equipped with a variety of amenities such as swimming pools, fitness centers, and security services, elevating the standard of living and making them highly coveted by potential renters and buyers. For investors, these attractive features translate to high rental returns and increasing property values in the long term. Moreover, the introduction of New Condo Launches has only added to the allure of condominiums in Singapore, making them even more desirable. New Condo Launches offer even more opportunities for investors and residents to experience the luxury and convenience of condominium living in this bustling city.
Although discussions are still ongoing and no final decisions have been made, Fosun International has been actively working to reduce its debt burden by selling off assets and reducing borrowing. These efforts have helped the conglomerate regain the confidence of global investors in recent years.
Owned by billionaire Guo Guangchang, Fosun International has a majority stake in Club Med through its leisure arm, Fosun Tourism Group. Club Med is renowned for its all-inclusive resorts that offer a variety of leisure activities such as fine dining, massages, yoga, scuba diving, and baby gym classes. The resort chain has over 60 properties worldwide, located in popular destinations like the French Alps and the Maldives.
CapitaLand Investment, which was listed in late-2021 as part of a major restructuring at CapitaLand Group, has been under pressure due to its significant investments in China, which is currently facing a property downturn. Temasek, which owns CapitaLand Group, also holds a majority stake in CapitaLand Investment.
When asked for comments, CapitaLand Investment and Fosun Tourism representatives declined to provide any information, while no response has been received from Fosun International yet.