One of the Middle East's most powerful investment firms has secured a controlling stake in one of Britain's most exclusive hospitality empires, marking a significant shift in ownership of some of London's most coveted dining and social destinations.
DIAFA, an investment unit backed by Abu Dhabi royal Sheikh Tahnoon bin Zayed Al Nahyan, has agreed to acquire a majority stake in the hospitality portfolio assembled by Richard Caring, according to an announcement Saturday. The deal, valued at more than £1 billion ($1.3 billion CAD), represents one of the largest investments in the UK's luxury hospitality sector in recent years.
The acquisition brings under Middle Eastern control a roster of Britain's most recognizable restaurant and club brands. The portfolio includes The Ivy, the legendary Mayfair restaurant that has hosted celebrities and power players for decades, as well as the ultra-exclusive private members' club Annabel's. Also included are luxury dining establishments Sexy Fish, Scott's, and Noema, along with members' clubs George, Harry's Bar, and Mark's Club.
"This investment opens exciting new chapters for our business," Caring, who will remain as executive chairman, said in the statement. "Together with DIAFA, we're positioned to expand these iconic brands globally while maintaining the quality and exclusivity that define them."
DIAFA is an affiliate of International Holding Co, the Abu Dhabi-based conglomerate chaired by Sheikh Tahnoon, who is the brother of the UAE's ruler. The company has become increasingly active in acquiring premium assets across Europe and North America in recent years.
The deal represents a significant vote of confidence in the UK's luxury hospitality sector despite economic headwinds facing the broader British economy. It also underscores the growing appetite among Gulf-based investors for iconic Western brands that offer both prestige and stable revenue streams.
Caring built his hospitality empire over decades, transforming these venues into destinations where London's elite conduct business and celebrate milestones. The Ivy, in particular, has become synonymous with celebrity spotting and power lunches, while Annabel's remains one of the world's most exclusive private clubs.
Under the new ownership structure, Caring will continue to lead the business alongside DIAFA representatives, focusing on international expansion while preserving the heritage and character that have made these establishments iconic.
This article is based on reporting by the Financial Post. Read the original story here.