FRHI acquired by Accor

Accor Hotels has announced the acquisition of FRHI Hotels and Resorts for US$840 million.

The FRHI group’s hotel portfolio, which includes the Fairmont, Raffles, and Swissôtel brands, spans five continents, and 34 countries. Also included in the purchase price are 46.7 million Accor shares. The transaction sees joint FRHI owners the Qatar Investment Authority and Kingdom Holding Company of Saudi Arabia become major Accor shareholders, with a 10.5 per cent and 5.8 per cent of share capital respectively. Sébastien Bazin, chairman and chief executive of Accor Hotel, said: “This is an outstanding opportunity to add three prestigious brands to our portfolio. It’s a great step forward for Accor Hotels that offers us robust and global leadership in luxury hotels. This major acquisition demonstrates the group’s agility in a fast-changing industry.” Accor anticipates the generation of an additional US$65 million in revenue from the acquisition of the FRHI group.