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Zhonghong Group acquires luxury travel firm Abercrombie & Kent

DOWNERS GROVE - Zhonghong Group has agreed to purchase a majority of the equity interests in luxury travel company Abercrombie & Kent from its current owners, including a company owned by investment funds managed by an affiliate of

Fortress Investment Group LLC.

Terms of the acquisition were not announced. Zhonghong is principally engaged in the development and operation of tourism-related properties and commercial real estate.

Abercrombie & Kent will retain its brand, culture and operating independence under the leadership of founder Geoffrey Kent as chairman and CEO, who will maintain a meaningful ownership interest alongside his new partners.

The transaction is expected to close in the third quarter of 2016.

"Since we began working with Geoffrey Kent in 2006, he has done a wonderful job of growing the business," said Fortress Co-Chairman Wes Edens. "This new partnership will help A&K take advantage of new opportunities to redefine the travel experience."

Abercrombie & Kent's travel services extend in more than 100 countries on all continents. Fifty-two local offices provide services like Inspiring Expeditions cultural odysseys for the modern adventurer, Journeys Around the World by Private Jet and Connections Boutique Group Journeys that bring a destination to life through authentic local interactions.

Skadden, Arps, Slate, Meagher & Flom LLP is acting as legal advisor to A&K and Morgan Stanley & Co. LLC is acting as its financial advisor. DLA Piper LLP is acting as legal advisor to Zhonghong.

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