French luxury behemoth Louis Vuitton Moet Hennessy Friday said it agreed to buy luxury hotel group Belmond in a deal valuing the company at $3.2 billion.
LVMH said it agreed to pay $25 per Belmond share, a 40 per cent premium over the Thursday closing price.
The operation, which is expected to be closed in the first half of 2019, values Belmond's equity at $2.6 billion, and the enterprise, including debt, at $3.2 billion.
Belmond owns, partly owns or manages 46 luxury hotels, restaurants, train and river cruise properties. The company posted $140 million in earnings before interest, taxes, depreciation and amortisation out of $572 million in revenue in the 12-month period ending on September 30.
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