Amtel Properties plans to invest $500 mln in FSU real estate
MOSCOW. Sept 11 (Interfax) - Amtel Properties Development Ltd plans to invest about $500 million in construction of hotels and commercial properties in Russia, Belarus, Georgia and Ukraine, the European Bank for Reconstruction and Development (EBRD), which may take a stake in the company, said in materials.
The EBRD might invest up to $500 million, which would give it "a substantial minority stake," in the company. In addition, Amtel Properties plans to raise $287.5 million in debt financing and invest $170 million of internal funds.
The projects for which Amtel is raising money include construction of the 120-room Hampton Hilton and 4,200-square meter B+ office center in Minsk and construction of a logistical complex near Tbilisi's airport, the EBRD said.
The founder and board chairman of Amtel Properties is Sudhir Gupta, well-known in Russia as the founder of the Amtel tire group. His son Daniel is the general director.
The younger Gupta told Russian business daily Vedomosti in March that the company wanted to hold an IPO in London in 2014-2015. Amtel Properties was worth more than $600 million as of the end of 2012, he said.