MCB Capital Markets advises Sun Limited on its corporate restructuring and announces the debut of market making services on the Stock Exchange of Mauritius

MCB Capital Markets Limited, the investment banking arm of MCB Group, the largest banking group in Mauritius, acted as exclusive Transaction Advisor to Sun Limited (“SUN”), a leading hotel resort operator, on the spin-off of certain hotel properties into Riveo Limited (“Riveo”), a newly incorporated and listed subsidiary. Following this restructuring, MCB Stockbrokers Limited (“MCB Stockbrokers”) has been appointed as market-maker in Riveo’s shares.

As announced in June 2024, the board of SUN resolved to split its businesses into two listed companies, namely Sun Limited (trading as Sunlife) that regroups its owner-managed resorts, and Riveo Limited, that owns iconic beachfront properties managed by renowned international operators, namely Shangri-La Le Touessrok and Four Seasons, as well as Ile-aux-Cerfs, an island located off the east coast of Mauritius. Prior to the spin-off, SUN had a market capitalisation of approximately MUR 10 billion (USD 220 million).

The objective of the spin-off is to increase shareholder value by providing the market with improved transparency and clear investment theses in relation to the business model and performance of the two distinct subsidiaries. Sunlife, through its #ComeAlive concept, will be dedicated to managing the Sugar Beach, La Pirogue, Long Beach and Ambre resorts, and on delivering attractive yields for its shareholders. Riveo is positioned as a leading operator in sustainable luxury hospitality, benefiting from the expertise of two leading global operators. It is expected that Riveo’s shareholders will benefit from an attractive investment return particularly after the planned renovation and certain property development initiatives have been completed.