Press room

Madrid, 05 March 2007

MORGAN STANLEY REAL ESTATE FUNDS HAVE ACQUIRED A MAJOR HOLDING IN THE CAPITAL OF NH HOTELES

The real estate funds of Morgan Stanley have taken a 6.35% holding in the capital of NH Hoteles. These funds have a positivily assessed the company's growth expectations and its leading position in Europe.

The operation has been facilitated by Ponte Gadea, which has agreed to sell 4.5% of the capital of NH Hoteles to the Morgan Stanley funds, so that they can attain a significant holding in the capital of the hotel company. Ponte Gadea thus brings its holding in NH Hoteles in line with its holdings in other Spanish listed companies.

The Morgan Stanley funds and Ponte Gadea plan to take part, in their respective proportions, in the capital increase of NH Hoteles currently going through its subscription period.

Since 1991, the Real Estate Funds of Morgan Stanley have acquired property assets all over the world, worth 102,000 million dollars. They currently manage approximately 60,500 million dollars in property assets on behalf of their clients. Morgan Stanley set up its real-estate operations in 1969.

ABOUT NH

NH Hoteles (www.nh-hotels.com) ranks third among European business hotels. NH Hoteles, after the latest acquisitions in Italy, has 330 hotels with 47,828 rooms in 21 countries in Europe, Latin America and Africa. NH Hoteles has at present 29 new projects for hotels under construction, which shall have more than 5,000 new rooms.

NH Hoteles stands out in quality both as regards services and facilities, with very carefully thought out decoration, intended to please all tastes and making the guest feel comfortable. NH Hoteles’ establishments offer the most advanced technologies designed to facilitate the guest’s communication as well as his work and leisure.

The restaurants are another priority for hotels in the chain, offering guest first-rate cuisine. Furthermore, the prestigious restaurateur Ferran Adrià, creator of El Bulli restaurant, has entered into an association with NH Hoteles, launching new concepts such as "nhube", pioneering spaces in the hotel sector combining food, leisure and rest for the chain’s guest, and "Fast Good".

NH Hoteles is listed on the Stock Exchange of Madrid (in the selective Ibex 35 Index).

FOR MORE INFORMATION:
Communication Department of NH Hoteles
Tel: + 34 91 451 97 62
+ 34 91 451 97 18 (switchboard)
e-mail: comunicacion@nh-hotels.com

BOOKING CENTRE
Tel: 902 115 116 (From Spain)
Tel: +800 0115 0116 (Only from A, BE, FRA, GER, IRL, NL, ITL, PT, SWTZ, UK)
Tel: +34 91 398 44 00 (From other countries)
Web: http://www.nh-hotels.com