Online Reporter
Martin Kadzere
THE Public Service Pension Fund (PSPF) has won the bid to acquire African Sun’s Monomotapa Hotel in a deal valued at US$20 million, sources close to the development have confirmed.
According to sources, the acquisition also includes a piece of land adjacent to one of Harare’s largest city hotels.
The disposal of the 243-room hotel is part of African Sun’s strategy to offload underperforming units to reinvest in and rejuvenate higher-performing assets.
The initiative also includes the Caribbean Bay Hotel in Kariba and the company has already divested from the Great Zimbabwe Hotel.
“The deal is currently being finalised by their financial advisors,” said a source who requested anonymity as they are not authorised to speak to the media.
African Sun has indicated that its overarching strategy is centered on optimising its portfolio by focusing on smaller, more profitable hotel segments.
The hospitality group plans to utilise the proceeds from this sale to upgrade several of its remaining hotels, primarily the Elephant Hills Resort in Victoria Falls.
Additionally, African Sun aims to acquire Meikles’ 50 percent shareholding in the Victoria Falls Hotel, which they currently co-own.
This publication reached out to the Public Service Commission’s chief investment officer, Dr Farai Gaba, who promised to provide more details on the deal.
While chief executive officer of African Sun, Mr Laurie Ward, could not be immediately reached for a comment, he said in the company’s 2024 annual report that the disposal will allow prioritisation of the remaining properties under its portfolio, as well as allocating funds for the development of phase two of the Malborough Sunset Views residential stands.
