South African hotel and casino operator, Sun International has acquired a 49% stake in the Federal Palace Hotel property in Victoria Island, Lagos.
The company's CEO, David Coutts-Trotter, sees Nigeria as country with much potential and as a good investment destination.
He said that negotiating the deal has been challenging, but that it is going to prove to have been worthwhile.
Sun International plans on upgrading the two hotels on the property, as well as adding a casino, conference centre and restaurant. It has been estimated that the total capital expenditure will be in excess of US$120-million.