CDS Hotels, a 30-year history continues thanks to CDP’s Basket Bonds Puglia

CDS Hotels, a 30-year history continues thanks to CDP’s Basket Bonds Puglia

The Salento-based company expands and renovates two facilities with the subscribed minibonds

The story of CDS Hotels began in Ugento, in the province of Lecce, in 1990. Over the last thirty years, professionalism and attention to detail have guided the Salento-based company in the world of hospitality, helping it grow and become a leading player in the Italian hotel industry.

In 2008, with the construction of the Riva Marina Resort, close to the Torre Guaceto Natural Reserve and Marine Protected Area, CDS Hotels began an expansion policy. The company bought two or three new properties every year until reaching its current size, with 12 tourist facilities in Puglia and Sicily united under single ownership, for a total of 2367 rooms, 36 conference rooms, and a total turnover of 36 million euros in 2019.

To make investments to improve the quality and quantity of the services that the company offers its customers and to consolidate and grow its position in the hospitality market, CDS Hotels has subscribed to the Basket Bond Puglia. This innovative financial instrument is promoted by Puglia Region and implemented by the regional in-house company Puglia Sviluppo in partnership with Unicredit (as arranger) and with the support of Cassa Depositi e Prestiti and Mediocredito Centrale, as institutional investors.

This tool provides Puglia-based companies with easy access to the capital market, tapping into sources of financing complementary to the banking channel, useful for investment projects, internationalisation, innovation, and working capital requirements.

Thanks to the minibond subscription, CDS Hotels started the renovation and expansion of the Hotel Porto Giardino in Monopoli and the Relais Masseria Le Cesine in Vernole, adding rooms and beds.

This initiative enables CDP to promote the dissemination of alternative financing instruments and at the same time support the revival of Italian tourism, one of the mainstays of the national economy. The pandemic has endangered this industry, which is vital for the country's recovery and even more so for a region with excellent tourism potential like Puglia.