TUI Group has suspended its joint project to open hotels in Oman, six months after the plan was announced.
TUI and the Sultanate of Oman’s Tourism Development Company OMRAN Group announced in mid-September 2025 they’d signed an agreement to construct and operate a cluster of five new hotels in the Dhofar Governorate region, one each under The Mora, Robinson, TUI Blue, RIU Hotels and Resorts and JAZ Hotel Group brands.
The first property had been scheduled to open in 2027-28, with the other four following closely afterwards.
The agreement had aimed to position Oman as a leading sun and beach destination, with TUI Group CEO Sebastian Ebel describing the destination as a ‘wonderful, beautiful country’ with ‘great landscapes and beautiful beaches’.
He said TUI and OMRAN planned to open hotels in other parts of Oman, once the first stage was completed.
As part of the partnership, OMRAN Group and TUI were to each hold 45% in the joint venture, with the other 10% held by a private investor.
OMRAN Group was also due to become a 1.4% strategic shareholder in TUI Group.
However, TUI Group announced yesterday (9 March) the project was being suspended, although it gave few details.
In a statement, TUI Group said: “On 18 September 2025, TUI and OMRAN Group signed a binding partnership agreement to jointly establish a local hospitality joint venture. Since then, TUI and OMRAN Group have worked on the implementation of this project.
“OMRAN Group has now informed TUI that the agreed project timeline of 31 March 2026 is no longer achievable. Consequently, the project implementation will be suspended.
“This includes both the planned ownership and development of five new hotels in the Dhofar Governorate, as well as OMRAN’s planned acquisition of a 1.4% shareholding in TUI.
“TUI and OMRAN Group will continue their close dialogue.”
