QIA-backed hospitality fund Kasada inks debut deal in Sub-Saharan Africa

 QIA-backed hospitality fund Kasada inks debut deal in Sub-Saharan Africa

Kasada Capital Management has inked its first transaction from its maiden fund, Kasada Hospitality Fund LP, by acquiring a portfolio of Sub-Saharan African Hotels from AccorInvest.

AccorInvest is the owner and operator of a portfolio of more than 880 hotels, owned and leased, located across 28 countries in Europe, Latin America and Asia. The sale of the portfolio of hotels in Sub-Saharan Africa to Kasada marks the refocusing of its investment strategy on Europe, positioning Kasada as the market leader in Sub-Saharan Africa.

The deal is one of the largest cross-border hospitality transactions in Africa and will see Kasada take control of eight fully operational hotels across three countries – Ivory Coast, Senegal and Cameroon – comprising 1,602 hotel rooms focussed on servicing intra-regional business travel in Africa. It will make Kasada one of the largest hotel owners in West Africa.

The target includes the Pullman, Novotel, Ibis Plateau and Ibis Marcory hotels in Abidjan, Ivory Coast; the Pullman, Novotel and Ibis hotels in Dakar, Senegal; and the Ibis hotel in Douala, Cameroon.

The transaction comes during one of the most challenging periods for the African hospitality sector that has been hit hard by the Covid-19 pandemic. The three West African countries’ economies have been growing at a steady pace and draw 7-10% of their GDP from tourism.

Kasada was advised on the transaction by Lazard Freres, Ashurst, Dentons, Okan and KPMG. AccorInvest was advised by Jones Lang LaSalle, De Pardieu Brocas Maffei, Mazars and Ernst & Young.

Kasada Capital is an independent investment platform within the Kasada group, dedicated to hospitality investments in Sub-Saharan Africa. The firm was launched in 2018 with the backing of Qatar Investment Authority, the sovereign wealth fund of Qatar, and hospitality major Accor.

Kasada Capital’s strategy spans all segments from economy to luxury and targets both greenfield and brownfield projects. The Kasada group’s hotels are operated under the banner of Accor’s brands.

In April 2019, the Kasada group held a close on its maiden fund, Kasada Hospitality Fund LP, with equity commitments of over US$500 million.

Vivek Sinha

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