Commodities

Consortium led by S.Korea's Mirae Asset to buy 15 U.S. hotels from China's Anbang

Credit: REUTERS/THOMAS PETER

A consortium led by South Korea's Mirae Asset Global Investments said on Wednesday it agreed to buy 15 hotels in the United States from Chinese troubled insurer Anbang Insurance Group [ANBANG.UL].

Adds details on the consortium, background on Anbang

SEOUL, Sept 11 (Reuters) - A consortium led by South Korea's Mirae Asset Global Investments said on Wednesday it agreed to buy 15 hotels in the United States from Chinese troubled insurer Anbang Insurance Group ANBANG.UL.

Anbang is in the process of selling down its overseas assets, after the Chinese government took control of the conglomerate last year.

The hotels are in U.S. cities including New York, San Francisco and Los Angeles, Mirae Asset Global Investments, an asset management arm of Mirae Asset Group, said in a statement.

"The size of the deal is about $5.8 billion and the deal is expected to be closed by end of January next year," a source with direct knowledge of the deal told Reuters.

Anbang has been one of China’s most acquisitive companies, signing over $30 billion of deals in recent years. But in February last year, the Chinese government took control over the firm, part of a campaign to reduce financial risk.

Anbang's former chairman, Wu Xiaohu, was later sentenced to 18 years in prison for fraud and embezzlement.

Anbang put its $2.4 billion property portfolio in Japan up for sale in August.

South Korea's financial group Mirae Asset has invested aggressively in overseas real estate in the last two years. It jointly bought a skyscraper office tower in Paris in July..

(Reporting by Heekyong Yang and Ju-min Park; editing by Darren Schuettler and Stephen Coates)

((Heekyong.Yang@thomsonreuters.com; +82 2 3704 5647;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Other Topics

US Markets

Latest Commodities Videos

    #TradeTalks: What the Strategy Looks Like for the Global Precious Metals Industry Through 2022

    LBMA CEO Ruth Crowell joins Jill Malandrino on Nasdaq #TradeTalks to discuss the Responsible Sourcing Report and what the strategy looks like for the global precious industry through 2022.

    6 days ago

    Reuters

    Reuters, the news and media division of Thomson Reuters, is the world’s largest international multimedia news provider reaching more than one billion people every day. Reuters provides trusted business, financial, national, and international news to professionals via Thomson Reuters desktops, the world's media organizations, and directly to consumers at Reuters.com and via Reuters TV.

    Learn More