A ceremony was held at the Hotel des Mille Collines on Friday evening marking the sale of the property by financially troubled Belgian airline Sabena to Miko Rwayitare, who heads the Telecel mobile phone company and is also involved in producing wine in South Africa.

The hotel, situated in the hills of Kigali, served as a refuge for more than 1,200 Tutsis and moderate Hutus during the massacre 11 years ago by Hutu extremists that the United Nations says left about 800,000 dead.

The story of the refuge was told in the 2004 film "Hotel Rwanda"  by British director Terry George.

"I believe that with him (Rwayitare), the hotel is in good hands," said Sabena executive Christian Van Buggenhout at the ceremony, adding that he hoped new investment would keep the famous  hotel in operation.

The purchase price of the hotel was not disclosed.

Rwayitare said he wanted "to build on the reputation of the hotel for tourism in Rwanda." He also has plans for a network of small lodges around the country in places such as the southwestern Nyungwe forest and Kibuye on Lake Kivu in the west.

Rwayitare said he would offer training to hotel personnel and in  the long term become involved in educational projects in Rwanda.