Status: 09.09.2021 10:34 a.m.
Bill Gates has been interested in hotels for a long time. His investment company is now taking over large shares in the Four Seasons chain and will thus control it in the future. Is he speculating on the renaissance of luxury travel?
The investment company Cascade founded by Bill Gates will control the luxury hotel chain Four Seasons Hotels and Ressorts. For this purpose, Cascade is increasing its previous stake from 47.5 percent to 71.25 percent, announced the management of Four Seasons. For this, the investment firm agreed with the Kingdom Holding Company of the Saudi Prince Al-Walid bin Talal to buy half of his shares in Four Seasons from him for 2.21 billion dollars, which corresponds to almost 1.9 billion euros.
Overall, the group is valued on the basis of the business with ten billion dollars. Cascade has been part of the chain since 1997. The Kingdom Holding Company will in future still hold 23.75 percent of the shares, Four Seasons founder Isadore Sharp will hold five percent as before.
The Four Seasons hotel chain was founded in 1960 and currently operates 121 hotels and resorts in 47 countries – including this one in the Spanish capital, Madrid.
Image: picture alliance / Zoonar
The prince’s business
The 66-year-old billionaire Al-Walid is an internationally known businessman and the founder of the holding company, which has invested in hotel chains, real estate and the financial markets, among other things. According to Bloomberg, Al-Walid has more than $ 18 billion in personal wealth, which puts him 109th on the Bloomberg Billionaires Index. His investments include Citigroup, Snap, Lyft and Twitter.
At the end of 2017, Al-Walid was arrested at the Ritz Carlton in Riyadh as part of a major anti-corruption campaign by the Saudi government, along with 200 other princes and well-known personalities of the kingdom. He was accused of money laundering, bribery and extortion from government officials. After more than two months of arrest, he was released in January 2018 through a settlement, the financial details of which are not known.
Speculation about the background of the investment
Cascade Investment mutual fund invests Bill Gates’ assets. According to the business magazine “Forbes”, Gates is the fourth richest person in the world at $ 133 billion. The Microsoft founder founded the fund in 1995, which invests in numerous companies. The Four Seasons hotel chain was founded in 1960 and currently operates 121 hotels and resorts in 47 countries.
There is speculation about the reasons for the increased involvement of Gates. The hotel industry is experiencing difficult times due to the corona pandemic. According to experts, however, it cannot be ruled out that the industry is facing a significant recovery in which Gates would like to participate. A few weeks ago, for example, the Hyatt hotel chain expanded the luxury segment and took over the operator of luxury resorts, the Apple Leisure Group, in a deal worth $ 2.7 billion.