FIVE Holdings

Dubai, United Arab Emirates, where FIVE Holdings is headquartered. Photo Credit: Daniel Zacatenco

Dubai’s FIVE Holdings has secured a $460 million revolving credit facility and disclosed plans for further “entertainment-led hospitality” buildouts.

FIVE reached out with word of the expansion ambitions and the loan, referring specifically to a $460 million tranche from the Commercial Bank of Dubai, the Arab African International Bank, and Madrid-headquartered Santander.

As described by the recipient, said facility will pay down an existing $350 million bond early – thereby “significantly” reducing the cost of borrowing. (FIVE in October 2023 brought a green bond to the NASDAQ Dubai with “a coupon rate of 9.375%…with maturity set for 2028.”)

That will leave north of $300 million to deploy thereafter, according to the Toy Room owner, hence the aggressive “experiential hospitality” expansion objectives.

Unsurprisingly, those objectives include developing an even stronger presence in Ibiza, where the company operates (via Pacha Group, which it bought in 2023 with the bond proceeds) the Pacha Ibiza nightclub.

Per FIVE, Pacha Group’s H1 2025 revenue swelled 14.3% year over year to $50.4 million/€43.2 million, and the mentioned nightclub attracted over 222,000 guests, up 25% YoY, across 64 events during Q2.

Despite this growth and a reported 24% YoY revenue boost (to $177 million total) from the entity’s Dubai hotels during H1 2025, however, FIVE also intends to bolster its reach across Asia and the U.S.

At least in today’s announcement, the Storytellers Ibiza owner didn’t shed light on what the moves might entail. But the electronic-focused FIVE did take the opportunity to tout its positioning at the intersection of live performances, immersive experiences, and hospitality.

Most immediately, that refers to a crowded near-term events calendar at Pacha Ibiza – though FIVE brought a studio to the Palm Jumeirah back in 2023, upon rolling out a label JV with Warner Music.

“At FIVE,” chairman and CEO Kabir Mulchandani added in part, “we identified early on the transformative power of experiential hospitality — where live gastronomy and high-energy entertainment driven by electronic music converge. This isn’t just a trend; it’s the future of global tourism. Our positioning today is no accident — it is the result of a bold, forward-thinking strategy, conceptualised and executed since 2018.”

In the bigger picture, FIVE’s revolving credit facility disclosure has arrived just weeks after Kygo’s Palm Tree Crew (PTC) confirmed a $20 million Series B.

As emphasized in the corresponding release, PTC has opened “four properties in under a year” – referring to clubs in Las Vegas, Miami, Kansas City, and Orlando – while simultaneously enhancing its festival footprint.