TUI had agreed and announced the sale in May 2021. The total portfolio was valued at 1.5 billion euros. For its 49 percent minority stake, TUI has received an initial purchase price payment of 541 million euros today and can receive an additional earn-out of around 130 million euros until 2023.
The transaction has been closed in a continued difficult market environment and generated a significant book gain of around 200 million euros. As announced previously, the proceeds will be used to reduce the Group's Corona debt.
Fritz Joussen, CEO of TUI Group: “With the sale of properties TUI sharpens its long-standing successful partnership with RIU and the Riu family and creates the basis for profitability and new growth after the pandemic. The transaction also enables us to further implement our ‘asset-right’ strategy with a clear focus on managing brand, operations, customer experience and distribution – decoupling growth in hotels from investments and hotel management and the holiday experience from property ownership.“
The core of the long-standing strategic hotel partnership between RIU and TUI continues to be the 50:50 joint venture. It will continue to operate all 100 RIU hotels and resorts worldwide in 19 countries. TUI continues to strengthen its core business with holiday experiences and intends to grow its international hotel brands TUI Blue, RIU, Robinson, TUI Magic Life.
Mathias Kiep, Group Director Investor Relations,
Controlling & Corporate Finance
Nicola Gehrt, Director, Head of Group Investor Relations
+ 49 (0)511 566 1435
Hazel Chung, Senior Investor Relations Manager
+ 44 (0)1293 645 823
Ina Klose, Senior Investor Relations Manager
+ 49 (0)511 566 1318
Kuzey Alexander Esener, Head of Media Relations
+ 49 (0)511 566 6024