Monaco – SBM raises €220m for Hôtel de Paris renovationBy Phil - 11 April 2015
Monte Carlo operator Société des Bains de Mer de Monaco (SBM) has raised €220m through the sale of more than 6.3m shares at a price of €36.4 per share since February.
The money will be used to finance two major construction projects in the Principality; the refurbishment of Hôtel de Paris and the demolition of the Sporting d’Hiver.
SBM launched the sale between February 24 and March 11. These two projects should boost revenue significantly for the company over the coming years.
During the fiscal year 2013/2014, SBM reported a turnover of € 472.5m up 11.4 per cent on the previous year, and a net profit of €17m.
However at an operational level, the group experienced another year of losses of nearly €12m. SBM hasn’t made an operating profit since 2010 when it generated $12.7m. in 2014 the group’s hotels brought in 49 per cent of the revenue rising by 6.8 per cent to a five-year high of $259.3m. Gaming increased 18.1 per cent to $285.9m. For the three quarters to December 31 2014 it generated revenues of $178.9m from gaming and $217.8m from hotels.