Malaysia-based conglomerate YTL Corp Bhd, through its wholly-owned unit YTL Hotels & Properties Sdn Bhd is acquiring Spanish firm SOL HTL Project, which owns a property in Madrid for EUR200 million ($250 million), it said in a stock filing with Bursa Malaysia on Friday. The price includes payment for loans that SOL HTL owes to the seller of the company, KKH Property Investors SLU, said YTL Corp.
The freehold property will be refurbished and converted into a 200-room hotel that will operate under the Marriott International Inc's EDITION brand. "The proposed acquisition is in line with YTL Corp Group's geographical diversification and expansion of the group's revenue base, through greenfield developments and strategic acquisitions. The luxury hotel segment in Madrid is growing and the proposed acquisition will enable YTL Corp Group to enter this market via a strategically-located hotel which will be operated under the EDITION brand of Marriott Group," said the conglomerate.
Located at Plaza de Celenque No. 2, 28013, the property currently forms part of a building which also houses the Fundación Obra Social y Monte de Piedad de Madrid. The proposed acquisition is expected to be completed in YTL's financial year ending at June 30, 2021.
Founded in 1955, YTL Corp is one of Malaysia's leading integrated infrastructure conglomerates. Its core businesses include utilities, operating and maintenance activities, cement manufacturing, construction contracting, property development and investment, hotel development and management. As at June 30, total assets under YTL Corp worth about $17.8 billion.