Consolidation process. AccorHotels yesterday announced the signing of an agreement for the acquisition of FRHI Holdings Ltd (FRHI), parent of Fairmont, Raffles, and Swissôtel. “This is an outstanding opportunity to add three prestigious brands to our portfolio, and a great step forward for AccorHotels. Through it, we are positioning ourselves as a key player in the current industry consolidation process while maintaining substantial leeway to implement our transformation plan,” said Sébastien Bazin, Chairman and Chief Executive Officer of AccorHotels.
FRHI includes three of the most prestigious global luxury hotel brands: Raffles, Fairmont and Swissôtel. It has 155 hotels and resorts and more than 56,000 rooms in 34 countries across five continents. The integration of Raffles, Fairmont and Swissôtel will broaden the Group’s geographic footprint in the luxury segment, and enable it to optimize its luxury and upscale brands in order to adapt its offering to the expectations of an increasingly demanding clientele.
AccorHotels aims to generate around €65 million in revenue and cost synergies Significant improvements will also be made in terms of customer data, thanks to the integration of a customer base including 3 million loyalty members.The agreement with Qatar Investment Authority and Kingdom Holding Company of Saudi Arabia provides for the cash payment of $840 million (€768 million at the current exchange rate) and the issuance of 46.7 million Accor shares.
