Banco Santander bets on Luxury Tourism

Banco Santander has consolidated its position in the luxury hotel sector with the acquisition of a minority stake in a subsidiary of Meliá Hotels International. The deal, valued at 300 million euros, includes three iconic properties: ME London in London, Gran Meliá Palacio de Isora in Tenerife, and Meliá Cala Galdana in Menorca.

This transaction was carried out through the subscription of new type B preferred shares in the Meliá subsidiary that owns these assets. As a result, Santander obtains a minority position in the subsidiary's share capital, reflected under the Non-controlling Interests section of the Meliá Group's Consolidated Balance Sheet.

Santander's disbursement of 300 million euros represents a significant cash inflow for Meliá, which will help strengthen its balance sheet and boost its consolidation and growth strategy. This operation also reflects the recovery of the hotel business after the negative impacts of the pandemic.

Ángel Luis Rodríguez, CFO of Meliá Hotels International, highlighted the importance of this collaboration with Banco Santander, noting that the financial institution becomes a preferred partner in an intense phase of consolidation and growth for Meliá.

Santander's investment is part of its diversification strategy and commitment to the tourism sector, particularly in the luxury hotel segment. With this operation, Santander not only strengthens its presence in the sector but also establishes a strategic alliance with one of the most important hotel groups worldwide.

Banco Santander's entry into the ownership of these three luxury hotels represents a strategic move that benefits both the banking entity and Meliá Hotels International, offering positive prospects for the future of high-end tourism.