French hotel chain LVMH signed an agreement with Orascom Development Holdings to build two new Cheval Blanc luxury resorts in Oman and Egypt.
The first Cheval Blanc resort is to be built on a desert island in Oman and will have 32 villas with a private beach and swimming pool.
The Oman Government will finance about 30% of the project and Orascom the remaining 70%.
Another Cheval Blanc resort consisting of 40 suites is planned to be built on the river Nile, Egypt, and will begin operations in 2012.
Orascom will provide the funding for the project while LVMH Hotel Management will operate the two resorts.
LVMH is mulling over projects in other locations, according to Reuters.