The starting bid for the auction of the 5 star Borjomi Likani hotel has been set at $38 million, the Georgian Partnership Fund has announced.
The auction will take in one or two months.
Investment proposals for the process of selling Borjomi Likani [hotel] is ready and has been sent to investors. We are waiting for them to express an interest”, the Partnership Fund says.
Information about potential investors has not yet been released.
The town is famous for its natural mineral waters and baths.
Our goal is to create an ideal place, where many years of experience, traditions and modern standards will be perfectly combined and where our guests will have a comfortable, perfect vacation and enjoy our health improvement services”, says the director of the hotel Shalva Alaverdashvili.
The hotel was a joint Georgian-Kazakh business venture, and the cost of the project was $48 million.
Last year the Partnership Fund bought 50 per cent of the hotel shares from Kazakh company KazMunayGas and became the full owner of Borjomi Likani International JSC, a Georgia-based company that engages in the construction of hotels.
In 2006, KazMunayGas, the state-owned oil and gas company of Kazakhstan, bought part of the government-owned Likani recreational complex, including a Soviet-era sanatorium, promising to turn it into a recreational area attracting tourists.
However, it wasn’t until 2011 that KazMunayGas and the Georgian Partnership Fund established Borjomi Likani International.
Construction on the hotel began in 2011, and was finalised in 2015.
Last year, the hotel operator Rixos left the management of the hotel. Now, the Georgian Partnership Fund is holding negotiations with world famous hotel operators such as Marriott, Intercontinental and Swissôtel.