ANDERMAT, Switzerland, March 28, 2022 /PRNewswire/ — The world’s largest ski resort operator, Vail Resorts, Inc. (Vail Resorts), headquartered in Colorado, United Statesannounced today that it is investing approximately 149 million francs for a 55% stake in Andermatt-Sedrun Sport AG. This is Vail Resorts’ first strategic decision to invest in and operate a ski resort in Europe. The total amount of the transaction will be reinvested and used for the future expansion of the destination. Andermatt Swiss Alps AG (ASA) will continue to hold around 40% of the company’s shares. Vail Resorts owns and operates 40 ski resorts in the United States, Canada and Australia.
Vail Resorts’ 149 million francs The investment is made up of two elements: 110 million francs investment in Andermatt-Sedrun Sport AG for use in capital investments to improve the customer experience on the mountain and 39 million francs, which will be donated to ASA and fully reinvested in base area property developments. ASA reinvests in the continued development of its core business in Andermatt and Sedrun of real estate, hotels, infrastructure and the expansion of Andermatt Reuss, and the 110 million francs will be reinvested by Andermatt-Sedrun Sport AG on the mountain, including ski lifts, artificial snow, gastronomy, leisure offers and infrastructure of the ski area.
Andermatt Swiss Alps AG has historically invested approx. CHF 1.3 billion in the development of the Andermatt destination, and more 150 million francs through Andermatt-Sedrun Sport AG to expand and modernize the SkiArena in Andermatt-Sedrun. Vail Resorts’ investment in Andermatt-Sedrun Sport AG will significantly accelerate the expansion of the SkiArena Andermatt-Sedrun and the destination as a whole. The equity partnership between Vail Resorts and ASA is based on the shared vision to continue to build and develop a world-class resort and world-class ski area.
“Vail Resorts is the perfect partner for our goal of making Andermatt the premier alpine destination,” said Samih Sawiris, majority shareholder of ASA. “With Vail Resorts’ deep expertise in successful integrated mountain destination operations, the company’s impressive marketing capabilities and destination guest reach, and the additional capital investment in the resort, Vail Resorts will give a significant boost to the development of Andermatt-Sedrun.”
Omar El Hamamsy, Managing Director of Orascom Development Holding AG (ODH), ASA’s other major shareholder, adds, “It’s great to have Vail Resorts as a partner in our group of 14 destinations. ODH brings a long and successful track record of luxury developments through Europe and the Middle Eastwhich, combined with Vail Resorts’ partnership and investment, will continue to drive tourism to the destination.
“Entering the European ski market is a long-term strategic priority for Vail Resorts. We are delighted to partner with ASA and invest our capital and resources to support the transformation of Andermatt-Sedrun into a destination of choice,” said Kirsten Lynch,
Chairman and CEO of Vail Resorts. “We plan to rely heavily on our partners, community members and the Andermatt-Sedrun team and learn more as we gain experience and understanding of the resort. , its customers and its operations. We are proud to add this incredible Swiss destination to our network of world-class resorts and the Epic Pass as we expand access for our existing pass holders and seek to create an even stronger offer for skiers and snowboarders in Europe.”
The business partnership goes beyond a shared commitment to improving the customer experience. Vail Resorts and ASA value safety, sustainability and contributing to the success of their local communities. Notably, both companies have existing individual commitments to protect and preserve the great outdoors: Vail Resorts through its Zero Commitment (a net zero carbon footprint and zero waste in all resorts by 2030) and ASA via Andermatt Managerthe company’s campaign for sustainable and climate-friendly tourism in the Andermatt region with the goal of zero CO2-operating emissions by 2030.
A representative of Vail Resorts will assume the chairmanship of the Andermatt-Sedrun Sport AG board of directors, and ASA will appoint the vice-chairman. Questions such as the future organization and others will be decided over the next few months. Winter operations for 2021/22 will continue as planned until 1st Mayst. There will be no change for employees.
The transaction team was led by Naguib S. Sawiris, member of the board of directors of ASA and designated chairman of the board of directors of Orascom Development Holding AG. The transaction is expected to close before the 2022/23 ski and touring season. Vail Resorts plans to include Andermatt-Sedrun in Epic Pass 2022/23 and Epic Day Pass with All Resorts Access, subject to timing of closure.
Press conference in Andermatt, The Chedi Andermatt Gotthard Saal:
Monday, 28and march to 10:30 a.m. CET
Or by webcast. Link to join: https://87399.choruscall.eu/links/andermatt220328.html
The press conference can be followed in English or German.
The following speakers will be present:
– Raphael KruckerCEO Andermatt Swiss Alps, Chairman of the Board of Directors Andermatt-Sedrun Sport AG
– Samih SawirisChairman of the Board of Directors Andermatt Swiss Alps
– Michael Z. BarkinExecutive Vice President, Chief Financial Officer Vail Resorts Inc.
– Patricia A.CampbellStrategic Advisor Mountain Division Vail Resorts Inc.
– Omar El Hamamsy, CEO of Orascom Development Holding AG
Andermatt Swiss Alps AG – Welcome home.
Andermatt Swiss Alps AG, headquartered in Andermatt, plans, builds and develops the year-round destination of Andermatt. In 2009, Andermatt Reuss was born, with apartment buildings, hotels and chalets. The Andermatt Swiss Alps Group also owns Andermatt-Sedrun Sport AG with its ski lifts, the Mountain Food catering brand, the Swiss Snow Sports School of Andermatt, an 18-hole, par 72 championship golf course and the hall concert from Andermatt. With hotels, sports infrastructure, wide range of events on offer and properties, Andermatt Swiss Alps pursues the vision of becoming the premier alpine destination. In doing so, he is committed to an intact environment and a sustainable future that will allow future generations to have an extraordinary home. During the high season, the Andermatt Swiss Alps Group employs more than 1,000 people at the sites in Altdorf, Andermatt and Sedrun.
www.andermatt-swissalps.ch / www.andermatt-facts.ch
About Vail Resorts, Inc. (NYSE: MTN)
Vail Resorts, Inc., through its subsidiaries, is the world’s leading operator of mountain resorts. Subsidiaries of Vail Resorts currently operate 40 regional mountain resorts and ski areas, including Vail, beaver stream, Breckenridge, keystone and crested mound in Colorado; park town in Utah; Celestial, North Star and Kirkwood in the Lake Tahoe domain of California and Nevada; Whistler Blackcomb in British Columbia, Canada; perish, Falls Stream and Hotham in Australia; Stowe, Mount SnowOkemo in Vermont; hunter’s mountain in new York; Mount SunapeeAttitash, Wildcat and Crotched in New Hampshire; Stevens Pass in Washington; Seven Springs, hidden valley, Laurel Mountain, FreedomRoundtop, Whitetail, Jack Frost and Big Boulder in Pennsylvania; Alpine Valley, Boston Mills, Brandywine and mad river in Ohio; hidden valley and Snow Creek in Missouri; Wilmot in Wisconsin; Afton Alps in Minnesota; Mountain. Brighton in Michigan; and Paoli Peaks in Indiana. Vail Resorts owns and/or manages a collection of elegant and relaxed hotels under the Rock Resorts brand, as well as the Grand Teton Lodge Company in Jackson Hole, Wyo. Vail Resorts Development Company is the real estate planning and development subsidiary of Vail Resorts, Inc. Vail Resorts is a public company listed on the New York Stock Exchange (NYSE: MTN). The Vail Resorts corporate website is www.vailresorts.com and the consumer website is www.snow.com.
Andermatt Swiss Alps AG
Head of Communications
+41 78 663 29 63