Qatar decides against filing offer for Monaco group

PARIS, July 22 (Reuters) - A unit of the Qatar Investment Authority, the sovereign wealth fund, said it was dropping a proposed offer for a stake in Monaco casino and hotel group Societe des Bains de Mer (BAIN.PA) due to management opposition.

Qatari Diar Real Estate Investment Company, a unit of the QIA, said in a statement on Tuesday the board of Societe des Bains de Mer (SBM) supported Qatari Diar's offer only if it was limited to 10 percent of SBM's capital.

"Qatari Diar is unwilling to proceed with an offer limited only to a stake of 10 percent and under these current conditions Qatari Diar regrets that it is unable to file its offer as previously announced," Qatari said.

Qatari Diar had wanted to become a "strategic investor" in the leisure group and had agreed to offer 725 euros a share to acquire up to 30.4 percent of its share capital, it said earlier this month.

The deal was worth about 400 million euros ($635.5 million) and would value the Monaco group at 1.3 billion euros, with the offer representing a 31 percent premium to the share price before it was announced. The shares closed at 688 euros on Monday.

The Qatar fund said earlier this month the Monaco Principality intended to hold on to its entire stake in the leisure group of 69.6 percent.

QIA, which has been one of the most aggressive sovereign wealth funds in recent years, already owns 2.45 percent of Societe des Bains de Mer through its Qatari real estate unit. (Reporting by Gilbert Kreijger; editing by Rory Channing)