Chinese investors Fosun buy Club Med stake
Chinese investment company Fosun bought a seven-percent stake in French leisure group Club Med, which is looking to tap the growing Chinse tourism market, the companies said on Sunday.
"Fosun has acquired 7.1 percent of Club Med's share capital, and has become one of Club Mediterranee's largest strategic investors," the companies said in a joint statement.
They did not say how much the Chinese group paid but the stake would be worth 25.6 million euros (31 million dollars), according to Club Med's market capitalisation at the close of markets on Friday.
"In the very promising Chinese market, Club Mediterranee wants to become the leading operator of upscale all-inclusive resorts, with the objective of making China its second largest market within the next five years," they added.
China's tourism revenue last year totalled one trillion yuan (146 billion dollars, 121 billion euros), according to the statement.
The companies said they had launched "a strategic partnership agreement in order to build comprehensive cooperation in upscale resort construction and operation as well as developing global business synergies."
Club Med said in February that it planned to open a ski village in November at the Mountain Yabuli resort in Heilongjiang Province, northeastern China -- its first Chinese venture, through a deal with Melco China Resorts.
It said it wants to build five such sites by 2015.
© 2010 AFP