AccorHotels Group is the new owner of FRHI Hotels & Resorts

AccorHotels Group had officially announces the acquisition FRHI Hotels & Resorts and Fairmont, Raffles and Swissotel hotel brands, following the decision of the General Shareholders Meeting dated July 12, 2016. Thus, the global network owned by AccorHotelswill grows through acquisition of important hotels such as The Savoy in London, Singapore Raffles, Fairmont San Francisco, New York Plaza, Fairmont Le Chateau Frontenac in Quebec City Le Royal Monceau Raffles and Paris.

The deal with the Qatar Investment Authority (QIA) and Kingdom Holding Company (KHC) comprised a cash payment of 840 million dollars (768 million euros) and an issue of 46.7 million AccorHotels shares in exchange for FRHI shares. The deal gives QIA and KHC a stake of 10.4% and 5.8% in the capital of AccorHotels. Bouzarif Ali and Aziz Fakhroo Aluthman Sarmad Zok from the QIA and KHC will join the Board of Directors of AccorHotels.

While talking about the acquisition of the three famous hotel brands, Sébastien Bazin, Chairman and Chief Executive Officer, Accor Hotels, said in a statemen that: “The acquisition of these three hotel brands is a historical milestone for AccorHotels. It will open up amazing growth prospects, lift our international presence to unprecedented heights, and build value over the long term.”

The shareholders also approved the appointment of Jiang QiongEr, Isabelle Simon and Natacha Valla as independent directors. “Accor Hotels plans to generate approximately €65 million in revenue and cost synergies thanks to the combination of brands, maximisation of hotel earnings, increased efficiency of marketing, sales and distribution channel initiatives, and optimisation of support costs,” the statement added.