HONG KONG — Chinese conglomerate Fosun International, which includes resort chain Club Med, is reportedly in talks to list its tourism arm in an IPO.
According to Reuters, the company is meeting with investment banks to raise at least US$500 million. It could go for an IPO as early next year and be listed on the Hong Kong exchange.
Fosun’s businesses are divided into several categories: ‘Health’, or pharmaceutical and medical-related; ‘Wealth’ for its financial operations’; and ‘Happiness’ for its tourism and leisure units. The Happiness arm raked in profits of over $78 million in the first half of 2017 alone.
Fosun, which was co-founded by Chinese billionaire Guo Guangchang, bought Club Med in 2015 for a reported $1 billion. It also owns the new Atlantis Resort Hotel in Sanya, Hainan province.