Al Habtoor Group to Divest All Lebanese Assets Amid Strategic Review from Dubai Headquarters

The Al Habtoor Group, a prominent Dubai-based conglomerate, has confirmed its intention to sell all its assets and investments in Lebanon. This decision encompasses the group's hotel portfolio, commercial and residential properties, and land holdings within the country.

Strategic Re-evaluation

The move follows the group's prior announcement on January 28 regarding the cessation of its operations in Lebanon. This divestment marks the next phase of a broader strategic review of Al Habtoor Group's investment portfolio and long-term priorities, aimed at concentrating resources on markets offering greater stability and sustainable growth.

Challenging Investment Climate

The board concluded that a complete divestment is the most appropriate course of action, aligning with its commitment to responsible investment management and protecting its interests. This decision comes amidst a challenging political and investment outlook in Lebanon, characterised by renewed conflict, political divisions, and delays in economic reforms.

Earlier in January, the group had cited Dh6.24 billion in losses and deteriorating conditions in Lebanon as reasons for closing its operations and terminating employees there.

Structured Sale Process

Al Habtoor Group plans to execute the sale through a structured, commercially driven process. Each asset will be assessed individually, and transactions will proceed based on market conditions and valuations. Further details regarding the sale process are expected to be announced at a later date.

History of Investment

The group began investing in Lebanon in the late 1990s, with significant capital deployed across hospitality, real estate, leisure, and other sectors. Its first hotel in Lebanon opened in 2001, and the company continued to invest and maintain its properties through various periods of economic and political uncertainty in the country.