Oaktree Capital's Ikos Resorts and the Greek hotel company Sani A.E. recently announced their merger with the goal of strengthening their hotel brands and expand tourism investments throughout Greece.
Their advanced level of cooperation was initiated in 2015 with Sani A.E. managing Ikos hotel group. Ikos is a 5*, all-inclusive hotel concept developed by Oaktree Capital Management, which has bought and renovated two properties in Halkidiki, Greece: Ikos Oceania and Ikos Olivia.
The Ikos Olivia was formerly the Gerakina Beach which belonged to the National Bank of Greece. Oaktree acquired Gerakina Beach hotel for €17 million in 2014 as their second unit in their portfolio. The hotel had been closed since 2012.
Ikos Hotel Management was jointly established by Sani A.E. and Oaktree Capital Management LP to manage the resorts. Main shareholders of the newly established group are Stavros and Andreas A. Andreadis as well as Oaktree Capital Management LP. The new venture also involves Goldman Sachs Asset Management and Hermes GPE.
Stavros A. Andreadis became chairman while Andreas A. Andreadis and Mathieu Guillemin were appointed CEOs of the new group. The merger will utilise Sani A.E.’s staff and expertise for developing and operating luxury hotel units.
According to media reports, the agreement involves plans of investment projects amounting to € 200 million within the next 5 years and creating around 1,000 jobs throughout Greece. In this context, one of the first actions of the merger is to strengthen their brands by upgrading their hotel units Sani Asterias, Sani Club, Sani Marina, Ikos Oceania and Ikos Olivia.
Renovation works have already begun and amount to approximately €40 million. New hotel investments will be carefully selected in locations with international airports.
According to the management of the new group, the participation of large foreign investments is a vote of confidence for Greek tourism and its prospects.
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