15.000 million peseta Hotel Formentor sale falls through

The investment company Moore's bid to purchase one of the most famous hotels in the Mediterrean, Majorca's Hotel Formentor for 15'000 million pesetas, has failed. After months and months of negotiations, the purchase of the hotel has finally fallen through with the shareholders in the hotel unable to reach an agreement. Moore, an international investment house, has made a number of attempts to purchase the hotel and planned to make a substantial investment in renovating the hotel and build a number of chalets in the area, a proposal the Pollensa council objected to. A year to 18 months ago, the owners of the hotel put all the shares in Inmobiliaria Formentor SA, the main shareholder in the estate, on the market for 22'000 million pesetas. A number of investment houses expressed an interest in the offer, but financial experts said that the figure was too high, in view of the fact that a large sum of money will have to spent on renovating and modernising the hotel in the north east of the island.