ROME – Barrick Gold founder Peter Munk is selling his last significant investment, Porto Montenegro, the superyacht marina and resort that he built as a Mediterranean rival to Cannes, to Investment Corp. of Dubai for an undisclosed amount.
Mr. Munk would not comment on the sale, which had been widely rumoured and was leaked over the weekend in the Montenegro newspaper Vijesti. On Sunday, sources said that Mr. Munk is to announce the sale on Friday.
The price is thought to be €200-million ($287.5-million) or more, though the seller and buyer are not expected to disclose the amount. In an interview in Montenegro in mid-2014, Mr. Munk said that the project by then had cost €287-million, split between debt and equity. The sale price is expected to leave Mr. Munk and his investors whole, with maybe a small profit.
ICD is Dubai’s sovereign wealth fund whose holdings include Emirates NBD, the largest bank in the United Arab Emirates; the Burj Khalifa, in Dubai, the world’s tallest skyscraper; Emirates airline, one of the world’s fastest-growing carriers; and Emirates National Oil Co.
It has been an open secret that Mr. Munk has been trying to sell Porto Montenegro for a year or longer. The marina and resort are located on a former Serbian naval base on the Bay of Kotor, on the Adriatic Sea.
Mr. Munk owns 52 per cent of Porto Montenegro’s holding company. His co-investors include some of the world’s wealthiest businessmen – among them Russian oligarch Oleg Deripaska, Lord Jacob Rothschild, the fourth baron of the Rothschild banking dynasty, and Bernard Arnault, chairman and CEO of LVMH, the French luxury group that owns Hennessy, Louis Vuitton and dozens of other upscale brands.
For the rest of this article, click here: http://www.theglobeandmail.com/report-on-business/international-business/european-business/mining-magnate-peter-munk-selling-superyacht-marina-in-montenegro/article29817069/