Mexican hotel company Palace Resorts is buying a 75% stake in Italy’s Baglioni Hotels and Resorts for an undisclosed amount.
Guido Polito will remain CEO of the Italian group as it continues to expand throughout Europe, Asia and the Middle East.
The acquisition will allow Baglioni Hotels and Resorts to further develop in the US market, which represents 70% of Palace Resorts’s business, as well as allowing it to tap into the more than 75,000 Palace Elite Vacation Club members.
Additional benefits for the Baglioni Collection will be lower operational costs and new profitable openings in Italy and Europe through direct acquisition from the real estate division of Palace Resorts.
For Palace Resorts, it gets to add a luxury European brand to its current portfolio with the ability to handle future hotels, resorts and real estate investments in Europe, Asia and the Middle East.
Baglioni Hotels and Resorts has properties across Italy as well as a hotel in London and a resort in the Maldives. Palace Resorts has nine five-star, all-inclusive oceanfront properties in Mexico and Jamaica.
What they said
Guido Polito, CEO Baglioni Hotels and Resorts, said: “I am honoured that the Chapur family has recognized Baglioni Hotels and Resorts as the primary luxury European brand seeing the potential that we still have for further developments in Italy and in other key international destinations. Remaining CEO of the group will allow me to continue, together with Mr. Giuliano Rocchi, Vice President, and all the management team, to take forward the work that my father Roberto Polito and I have passionately done over the years, making Baglioni the most renowned and respectful Italian luxury hospitality brand.”
Gibran Chapur, executive vice president, Palace Resorts, said: “It is such an honor for us, the Chapur Family, to take our Company to a global reach through Baglioni Hotels and Resorts. We invested in this great Italian Collection for many reasons, starting with the kindness and great execution ability of its staff in and out of the hotels, and it will be a pleasure to keep collaborating with our new partner and CEO, Guido Polito, who has taken the Group to worldwide recognition with the Italian spirit in every detail of guests’ experience. We will grow our investments in Europe, Asia and the Middle East with the very much capable team of professionals that work at Baglioni by taking the Le Blanc and Moon Palace Brands to this side of the world. This acquisition will also allow our Vacation Club members to Travel to our new properties around the globe.”