Europe’s biggest hotelier ups asset disposal

Accor aims to accelerate disposal of hotels to reduce debt problem

Accor, owner of Novotel, Mercure, Sofitel, Motel 6 and other brands, says that it will bring forward an earlier three-year plan to dispose of assets. Involving the sell-off more than the 450 hotels it originally planned to, this will reduce its debt over the coming two years by €1.2 billion.
Increased occupancy at its hotels during 2010 has helped Accor to double its earnings to €446 million before interest and taxes, while room rates are rising in upscale and midscale hotels on average. The company reports strong growth in emerging markets, but growth in Europe is weaker.
In a statement, new CEO Denis Hennequin confirmed: “Our objective will be to accelerate the execution of our strategy.” Meanwhile, market analyst Matthias Desmarais said in a note to clients: “There seems to be no real change in strategy and the outlook remains unchanged.”
[pictured: Novotel Genova Ovest]


Check Also

Air France, Accorhotels, accor, buy, stake, sale, swap, government

AccorHotels may buy into Air France-KLM

There are several ways a deal between Accor and the French government could work.

Movenpick, Accor, Accorhotels, buy, acquire, M&A, hotels, business, sector, Saudi, prince, sell, deal

Why AccorHotels snapped up Mövenpick

Accor solidifies its position in Europe and the Middle East by buying Mövenpick Hotels & Resorts for €482 million.

AccorrHotels, Mantith africa, experience, travel, stay, hotel, boutique, unique, buy, deal, partner, M&A

Accor invests in “one-of-a-kind experiences”

The hospitality giant AccorHotels signs a strategic agreement with South Africa-based Mantis Group.

Accor, Bazin, interview, CEO, strategy, hospitality, hotels, business, Jo&Joe, John Paul, buy, service, concierge

Accor to revolutionise revenue streams

A third of revenues won't be from rooms, CEO says

Accor, AccorHotels, Qatar Airways, loyalty, points, miles, members, Qatar Airways Privilege Club, Le Club

Qatar and Accor link loyalty schemes

Qatar Airways and AccorHotels offer reciprocal benefits

Accor, AccorHotels, Sarkozy, president, France, tourism, brand portfolio, appoint, management, director

AccorHotels appoints Sarkozy as director

Former French president tasked with developing portfolio