Zimbabwe’s tourism renaissance has attracted yet another high-profile investor, with UAE-based ASB Hospitality LLC securing a share purchase agreement to acquire full ownership of Makasa Sun (Pvt) Limited, the entity behind the shuttered Kingdom Hotel in Victoria Falls. The transaction, valued at US$30 million, involves Victoria Falls Stock Exchange-listed First Capital Bank and its staff pension fund divesting their combined 100 per cent stake in the hospitality firm, paving the way for the landmark property’s anticipated reopening under a fresh brand.
The Kingdom Hotel, a 294-room fixture overlooking the Zambezi River and mere minutes from the iconic falls, ceased operations in early 2023 amid a protracted lease dispute with former manager Africa Sun Limited. This marks ASB’s second foray into Zimbabwe’s hotel landscape, following its 2020 US$20 million purchase of Harare’s storied Meikles Hotel, rebranded as Hyatt Regency Harare – The Meikles and now undergoing multimillion-dollar renovations to elevate it to global standards. According to Newsday Zimbabwe, ASB – a subsidiary of Dubai’s Albwardy Investment with a portfolio spanning four continents – views the acquisition as a strategic extension, leveraging alliances with international operators to inject capital and expertise into underutilised assets.
First Capital Bank’s company secretary, Sarudzai Binha, outlined the deal’s structure: a US$3 million escrow deposit already secured, with the remaining US$27 million payable upon completion, subject to approvals from the Reserve Bank of Zimbabwe, COMESA Competition Commission, and Zimbabwe Revenue Authority. As reported by Three Men On a Boat, the sale unlocks shareholder value by offloading a non-core, dormant asset valued at US$27.98 million in net assets as of October 2024, allowing the bank – with a market capitalisation of US$134 million – to refocus on lending and financial services without materially impacting earnings or net tangible assets per share.
Proceeds will primarily settle capital gains taxes, distribute net funds proportionally to the bank and pension scheme, and reinvest in core operations, underscoring a broader trend among African financial institutions to streamline portfolios amid economic volatility. The Kingdom’s revival aligns with Zimbabwe’s tourism surge, which saw over 1.6 million international arrivals in 2024 – an 18 per cent year-on-year increase – fuelling US$1.18 billion in revenue and earning the nation Forbes’ nod as the world’s top destination for 2025. Enhanced air connectivity via Ethiopian Airlines and others, coupled with government incentives like special economic zones and the ZimBho! domestic campaign, have propelled domestic trips up 20.9 per cent to 9.92 million.
For ASB, the move bolsters its African footprint, including a recent majority stake in Lusaka’s Taj Pamodzi Hotel, and promises to reposition the Kingdom as a luxury draw in Victoria Falls – a UNESCO site hosting 400,000 annual visitors. Analysts project the sector’s receipts to reach US$286 million by 2028, growing at 1.4 per cent annually, with hybrids of wildlife safaris and cultural experiences driving demand. As regulatory hurdles clear, the deal not only revives a dormant icon but signals deepening UAE-Zimbabwe ties, potentially unlocking further investments in a market ripe for sustainable growth.