Monday, Mar 19, 2007
BEIRUT (Zawya Dow Jones)--Jordan's Union Integrated Tourism Co., a unit of Union Group, plans to build a resort and hotel on the Dead Sea for 35 million Jordanian dinars ($49.4 million) as it eyes a deal with France-based hotel group Accor.
Bashar Kakish, general manager of UITC, told Zawya Dow Jones in a phone interview Monday the project is currently in the design phase following a feasibility study.
The project will be built on an area of 42 dunum, or 42,000 square meters, in the town of Suwaima on the eastern shore of the Dead Sea, Kakish said.
He added the feasibility study was done by a U.K.-based consulting firm specialized in tourism projects, without giving its name.
Kakish said UITC wants to enter into a deal with Accor for managing the resort and providing technical assistance.
"The company's board of directors has agreed to assign Accor to operate the hotel and resort under the brand name Novotel," he said.
Construction will take about three years and will start after the project has been approved by Jordanian authorities.
Kakish said UITC in 2007 plans to raise its capital to JOD12 million from JOD5.3 million to finance its projects.
He declined to give details on the method of the planned capital increase.
Union Group is a privately held Jordanian conglomerate with activities in banking, manufacturing, trade, and real estate.
-By Cynthia Darrous, Zawya Dow Jones, +961 1 985757, Cynthia@zawya.com
Copyright (c) 2007 ABQ Zawya Ltd.
(END) Dow Jones Newswires
19-03-07 1230GMT
