IDB Invest provided a $120 million financing to Grupo Piñero, a leading hotel operator in the Caribbean and Mexico with 27 hotels in the region. In addition, Banco Popular Dominicano will provide an $80 million loan, for a total package of $200 million.

IDB Invest’s financing will support Grupo Piñero in the reopening of its hotels in the Dominican Republic and Jamaica that were closed due to the COVID-19 pandemic. This liquidity will address the company’s working capital needs, inject funds to keep its properties competitive, and provide a financial cushion as it embraces recovery.

The Dominican Republic and Jamaica are highly dependent on the tourism sector and have been largely affected by the crisis, which makes restoring tourism activity a priority.

With this financing, Grupo Piñero plans to revitalize its regional portfolio, coinciding with the return of international travel, which has been gradually increasing, as well as supporting the generation of foreign exchange. The reopening of its portfolio will reactivate local value chains, reestablish jobs lost during the pandemic, in addition to maintaining existing ones, and also promote the training of employees.

IDB Invest will also offer technical assistance for the protection of coastal areas, the restoration of mangroves and corals, in addition to a consultancy to analyze the impact of climate change on the group's properties.

With this deal, IDB Invest reaffirms its commitment to investing in the recovery of sustainable tourism, a priority sector in Latin America and the Caribbean. We anticipate that this transaction will also serve as a catalyst for additional tourism investments in the region.

This operation is expected to contribute to four of the United Nations Sustainable Development Goals (SDGs): Decent Work and Economic Growth (SDG 8), Responsible Consumption and Production (SDG 12), Climate Action (SDG 13) and Partnerships for the Goals (SDG 17).

About IDB Invest

IDB Invest, a member of the IDB Group, is a multilateral development bank committed to promoting the economic development of its member countries in Latin America and the Caribbean through the private sector. IDB Invest finances sustainable companies and projects to achieve financial results and maximize economic, social, and environmental development in the region. With a portfolio of US$13.1 billion in assets under management and 385 clients in 25 countries, IDB Invest provides innovative financial solutions and advisory services that respond to the needs of its clients in a variety of sectors.

About Banco Popular Dominicano

Banco Popular Dominicano is the main private financial institution in the Dominican Republic for over 57 years. A leader in all businesses and customer segments, it was established with the mission of democratizing financial services in the country and its vision has been maintained since its inception, promoting initiatives and involving Dominican society in a social development, economic and environmental project. Its leadership in the digital transformation of banking services has facilitated the financial inclusion of thousands of Dominicans. Its vocation of service for more than five decades was reinforced in 2019, by becoming a signatory member of the United Nations Principles of Responsible Banking, promoting opportunities for the development of sustainable businesses in the country.

About Grupo Piñero

Grupo Piñero is a family-owned Spanish tourism group established in 1977 by Pablo Piñero. Led by Isabel García (President) and her three daughters Lydia, Isabel and Encarna Piñero (CEO and Executive Vice President since 2007), with the purpose of creating exciting experiences. With more than 40 years, it operates in a responsible manner to offer the best experience to customers and employees and actively contribute to society as a whole, based on a strategic plan in which sustainability is at its core, and sustainable growth and innovation as key pillars. It structures its activity into three business units: Living Resorts, for its hotel activity, which has 27 establishments and more than 14,000 rooms in the Dominican Republic, Mexico, Jamaica and Spain, residential complexes and golf courses; Travels, for its tour operator (Soltour) and ground handling (Coming2) brands; and Services, which groups other destination services. Grupo Piñero has incorporated sustainability into its management since 2014, in order to be a responsible company committed to its team, to the communities where it operates, to its suppliers and to the environment.