HNA Group Co., Haikou, China, confirmed to Reuters on Friday that it dropped its bid to buy luxury hotel chain Amanresorts International Pte Ltd from Indian real estate giant DLF.
“HNA Group indeed participated in the bidding. But we did not receive any feedback information for the bid result in the period of validity. HNA Group has given up on the project,” an HNA spokeswoman told Reuters.
HNA did not say how much it had bid for Amanresorts, but according to anonymous sources “with direct knowledge of the matter” each of the bids for the hotel chain were about US$300 million to US$315 million, while DLF is looking for US$400 million. The lower-than-expected bids may be stalling the sale, Reuters reported.
New Delhi-based Indian real estate developer DLF Ltd. owns Amanresorts. DLF is seeking to raise as much as 100 billion rupees (US$2.2 billion) through asset sales to repay debt, according to its latest annual report. HNA is one of at least five companies bidding for the 25-unit ultra-luxury boutique hotel company.