President Ibrahim Mohamed Solih has announced the government will give up its 30% stake in the Addu Investment Private Limited, which developed the Shangri-La Resort, if the people of Addu City wish for it.
Speaking at a gathering held with citizens of Feydhoo, Addu, President Solih suggested the government could release its stake in the Shangri-La Resort to enable it to operate independently and profitably. Noting that Shangri-La’s operations have stopped and it is facing losses of millions of dollars, the president said he does not believe the resort can be run in a joint venture. He said the government is required to pay USD70 million to release the stake.
Shangri-La was developed in Addu as an upmarket resort with 60 water villas, 26 beach villas, 28 pool villas, 16 tree house villas, and two presidential villas. The government holds 30% of the shares of the resort while the remaining 70% is owned by the resort operator Addu Investment Private Limited. The government has faced challenges in reopening the 284-bed resort which was closed down due to COVID-19.
