Bermuda?s two five-star Fairmont Princess hotels have been sold to an alliance that includes the world?s fifth richest man Saudi Prince Alwaleed bin Talal Alsaud.

The hotels in Hamilton and Southampton are part of a $3.9 billion deal that will see the entire Fairmont hotel chain change hands within the coming months becoming part of a global luxury lodgings empire that also includes the famous Raffles Hotel group and London?s Savoy Hotel.

Current hotel staff will benefit from ?significant opportunities? to work in an expanded hotel chain that links up some of the world?s most prestigious hotels, according to Fairmont chief executive William Fatt.

And those holding shares in Fairmont since early November, when speculation of a sale of the Canadian hotel group first emerged, will enjoy a sizeable profit if and when a deal is approved.

It is not anticipated that there will be any major disruption to jobs or the management of the Island?s two Fairmont hotels after a statement was released by Prince Alwaleed in which he cited the success of the hotel group as being ?attributable to the dedication and professionalism of its management and employees.?

Tourism Minister Dr. Ewart Brown has been in touch with the Fairmont group?s management on the Island. He told : ?I knew this was in the works, but I don?t want to comment until I have additional information.?

And the UBP?s Shadow Tourism Minister David Dodwell said: ?I?m not surprised it has been sold. It?s a good blend together and I don?t think there?s anything bad about it. If anything it will help.?

In the past three months shares in the company have rocketed from $33 to $44.27 at the close of business on Wall Street last night.

Shareholders will be asked to accept the sale in return for a $45 per-share offer. A shareholders? meeting is expected to be held in April and, providing at least a 66.6 percent majority agree the deal and it also meets regulatory approval, the switch of ownership should be completed by the middle of the year.

Prince Alwaleed?s Kingdom Hotels International company has linked up with Los Angeles-based investment group Colony to make a combined offer for the Fairmont group.

The deal is more than twice as large as a bid made in December by billionaire investor Carl Icahn, which was rejected by the Fairmont board.

With a personal fortune estimated by Forbes to be $23.7 billion Prince Alwaleed, who is a nephew of Saudi Arabia?s King Abdullah, is known as a savvy global investor and already owns London?s Savoy Hotel and the Monte Carlo Grand in Monaco.

The Prince is also a supporter of women?s rights. Even though women can?t legally drive in Saudi Arabia he hired the country?s first female airplane pilot.

In a statement about the hotel deal Prince Alwaleed said: ?As one of Fairmont?s current shareholders and strategic partners, Kingdom has long recognised the company?s existing value and potential. We look forward to partnering with Colony and working with both Fairmont and Raffles? management to take the combined companies to a new level of achievement.?

Prince Alwaleed is an investor in the Four Seasons Hotel group, which was expected to locate a five-star hotel at the former Club Med site in St. George?s until a change of favoured developer was announced two weeks ago.

Kingdom Hotels International?s partner in the deal, Colony, already has within its portfolio the Raffles Hotel chain, including the flagship 119-year-old Singapore Raffles Hotel and 23 Swissotels.

Incorporating the Fairmont group?s 87 luxury hotels and resorts into those already owned by the two companies will create an international luxury hotel chain with 120 hotels in 24 countries.

Colony?s chief executive Thomas Barrack said: ?Fairmont and Raffles are an excellent strategic fit with rich histories, global brand recognition and complementary destinations. Joining the two luxury companies creates an ideal platform for continued international expansion.?