Club Med owner is bullish on China’s reopening, says resort is ‘definitely not for sale’
03/29/2023|3:53:20 PM|CNBC

Club Med is “very optimistic” about China’s reopening, an executive from Fosun Tourism Group told CNBC, adding that the luxury resort chain is “definitely not for sale.”

Xu Bingbin, its co-president told “Squawk Box Asia” in an exclusive interview Monday that “Fosun Tourism Group is one of the core businesses of Fosun [International], and Club Med is one of the core businesses of Fosun Tourism Group.” Fosun Tourism Group is the leisure arm of Chinese conglomerate, Fosun International.

Bloomberg reported in November that Fosun International is exploring “strategic options” for Club Med as a means to reduce debt.

“We are actually happy to see if … partners in different parts of the world can give synergy for us, but definitely Club Med is not for sale,” said Xu, who is also the CEO of Club Med China.

While there’s been a “significant demand for outbound travel” since China’s reopening, there’s still some catching up to do, Xu acknowledged. 

“So far, the air capacity from our major sourcing market [China] to major destinations is not yet there.” 

Xu added he foresees the peak of outbound travel to happen this summer, along with increasing per capita spending of its “target clients.”

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