- The Public Investment Fund (PIF) of Saudi Arabia has acquired a 49% stake in Rocco Forte Hotels, a luxury hotel group valued at around £1.4 billion ($1.8 billion).
- Rocco Forte Hotels, founded by Sir Rocco Forte and Olga Polizzi, currently operates 14 high-end hotels and resorts in Europe.
- The deal with PIF allows Rocco Forte to compete with larger luxury hotel groups by providing a cash injection and a strategic partnership. The founding Forte family will retain a majority stake and management control, while PIF’s long-term investment approach aligns with Rocco Forte’s growth plans in a post-pandemic market.
The Public Investment Fund (PIF) of Saudi Arabia has acquired a 49% stake in the high-end British hotel group Rocco Forte Hotels, the companies announced on Monday. The deal values Rocco Forte at around £1.4 billion ($1.8 billion) and marks a major expansion for the luxury hotel chain into new markets backed by Saudi capital.
Rocco Forte Hotels was founded in 1996 by Italian hotelier Sir Rocco Forte and his sister Olga Polizzi. The group currently operates 14 hotels and resorts in Europe including iconic properties such as Brown’s Hotel in London, The Balmoral in Edinburgh, Villa Kennedy in Frankfurt and Hotel de Russie in Rome. The company also manages a collection of private villas.
Under the new partnership, PIF will help fund Rocco Forte’s global expansion plans which include openings in key cities such as Milan, Shanghai and New York. Rocco Forte aims to operate over 20 hotels within the next five years. The founding Forte family will retain a majority stake and management control.
Sir Rocco Forte, Rocco Forte Hotel’s 78-year old Chairman said, “PIF is an excellent partner for us going forward…They share the same vision for the brand and the future strategy of the group.” He added that PIF’s long-term investment approach made them an ideal backer as the company enters a new growth phase.
The deal highlights PIF’s strategy of buying into prestigious luxury brands and properties globally while providing capital for their expansion plans, especially post-pandemic. For Rocco Forte, the cash injection and partnership enable it to accelerate growth to compete with larger high-end hotel groups.
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Last Updated on December 4, 2023 by Safiya K
