Ambani’s conglomerate, Reliance Industries, announced Saturday the acquisition of the hotel’s parent company, a Cayman Islands-based firm controlled by the Investment Corporation of Dubai. That company indirectly holds a 73.4% stake in the property.
The deal is expected to close by the end of March. Reliance said that it would plan to acquire the remaining stake based on the same valuation if the hotel’s other owners choose to also sell their shares.
Like most hotels, Mandarin Oriental was hit badly by the Covid-19 pandemic. In a stock exchange filing Saturday, Reliance said that the New York hotel took in just $15 million over the entire year of 2020, compared with $115 million and $113 million in 2018 and 2019, respectively.
The iconic hotel, which sits near Central Park and overlooks Columbus Circle, is a marquee acquisition for Reliance.
Reliance currently has holdings in the Oberoi Hotels, a collection of five-star resorts across India and six other countries, as well as Stoke Park, a famous English country club.