Allen & Overy LLP has advised leading global tourism group TUI Group with registered office in Hanover on the sale of the Spanish-British Hotelbeds Group to the private equity investor Cinven Capital Management and the Canada Pension Plan Investment Board. The purchase price is approximately EUR 1.2 billion. The transaction is still subject to clearance by the competent regulatory authorities and is expected to close by the end of September this year.
With the sale proceeds, TUI Group intends to boost its growth strategy in particular in the hotel and cruises segment and at the same time to further strengthen the balance sheet.

Hotelbeds Group is the global market leader in the bedbank business and offers hotel rooms to travel agencies and tour operators across more than 120 source markets. In the 2014/15 financial year Hotelbeds generated a total transaction value (TTV) of EUR 3.8 billion.

In the 2014/2015 financial year TUI Group recorded a turnover of EUR 20.1 billion and an operating result of EUR 1.069 billion.

Allen & Overy regularly advises TUI Group, most recently on the merger with TUI Travel PLC to form the world's largest integrated tourism group.

The Allen & Overy team was led by Hamburg corporate partner Dr. Helge Schäfer and further comprised counsels Dr. Jonas Wittgens and Marie-Luise von Buchwaldt (both corporate, both Hamburg) and Frankfurt tax-law partner Dr. Heike Weber. The Spanish Allen & Overy team was led by corporate partner Antoni Valverde who was assisted by senior associates Javier Bau and Bosco de Checa (all corporate, all Barcelona).

TUI Group's inhouse team on this transaction was led by Dr. Hilka Schneider (General Counsel and member of the TUI Group Executive Committee) and included Marcus Berger and Mareike Ackermann (both group corporate law, M&A).