Orascom Development Holding (ODH) said that a new report by a US firm has valued its land banks and 17 hotels at the Red Sea resort of El Gouna at USD 2.1 bn, 42 times its current book value, Invest-Gate reports.

The report, conducted by international property valuators CBRE Group, has valued the 22.9 mn square meters of undeveloped lands of ODH’s El Gouna at an aggregate market value of USD 1.82 bn, 170 times its current book value which stands at USD 10.7 mn, according to a company statement.

CBRE also valued ODH’s 17 hotels in El Gouna at USD 303.6 mn, compared to their book value of USD 39.3 mn, 87% below the estimated market value.

ODH owns a total of 33 hotels across eight places with 7,113 rooms and 66.3 mn of undeveloped land bank, all of which are booked at cost.

The company’s CEO Khaled Bichara said in the statement that ODH’s assets are “not adequately reflected in its stock price.”

“The 17 hotels in El Gouna alone plus the remaining land would make up more than 4.1 times the current market capitalization, using CBRE’s market value,” he added.