Clifford Chance, EY Abogados and Squire Patton Boggs: Banco Santander Acquisition in Meliá Hotels

Clifford Chance, EY Abogados and Squire Patton Boggs have advised on the acquisition of a significant 38.2% stake in the share capital of a subsidiary of the Meliá Group by Banco Santander investment vehicle, Moon GC&P Investments. The deal, valued at EUR 300 million, involves a joint venture company that will own and manage three luxury hotels in Spain and the UK.

The subsidiary of the Meliá Group currently operates three prestigious hotels: ME London in London, Gran Meliá Palacio de Isora in Tenerife, and Melia Cala Galdana in Menorca. With Banco Santander’s investment through Moon GC&P Investments, the joint venture will facilitate the continuation of hotel operations under the Meliá Group brand.

The transaction is set to conclude on April 11, with Moon GC&P Investments injecting EUR 300 million into a share capital increase of the joint venture company. In return, Moon GC&P Investments will receive preferred shares representing a 38.2% ownership stake in the company.

The Clifford Chance multidisciplinary team that has provided legal counsel to Banco Santander was led by Global Financial Markets partner Eugenio Fernandez-Rico and Corporate / M&A counsel Javier Olábarri, together with senior associates Beatriz Melo (Corporate / M&A) and Andrés Berral (Real Estate). They were supported by counsel Sarah Thomas and senior associate Rose Tinker (Real Estate, London), as well as associates Carlos Aleixandre, María Rodrigo and Xabier Olabarri (Corporate / M&A), Alejandro Cubillo (Global Financial Markets), Itziar Kraus (Real Estate), along with counsel Jorge Martín-Fernández and associate Natalia Olarra (Labour) and senior associate Octavio Canseco (Regulatory).

EY Abogados has provided comprehensive tax advice to Banco Santander (tax due diligence and tax structuring) in the co-investment. The transaction has been led by Araceli Sáenz de Navarrete (partner) and Rosa González (manager). María Amor (senior manager) also participated in the transaction.

The Squire Patton Boggs Madrid team (information taken from TTR Data) advised Meliá was formed by partners Teresa Zueco, Pablo Rodríguez, Pablo García Oliván and Ramon Castilla, who were supported by Ana Bohórquez (Of counsel), senior associate Luis Gutiérrez, and the associates Jorge Boguñá and José María Pérez-Prat, Cristina Fernández. Matthew Dalzell, partner in SPB’s Leeds office, was also involved in the transaction.