Accor has continued its global expansion with the acquisition of the hotel assets of Grupo Posadas, a Mexican hotel company.
The deal, which is worth US$275 million, will see Accor acquire 15 hotels, of which four are owned, four leased and seven operated under management contracts. Eleven of the 15 hotels are located in Brazil, including Sao Paulo and Rio de Janeiro, while others are positioned in key Latin American gateway cities such as Buenos Aires and Santiago.
The transaction also includes a pipeline of 14 hotels and the acquisition of two brands operated by Grupo Posadas: Ceasar Park and Ceasar Business. Accor said the acquisition would “reinforce” its Sofitel, Pullman, Novotel and Mercure brands, which already operate in Latin America.
Following the transaction, which expected to be completed by the end of 2012, Accor’s network in Brazil will reach 164 hotels and 26,200 rooms, while its Latin American portfolio will rise to more than 200 hotels comprising 34,000 rooms. Within the next three years, Accor expects to expand to more than 300 hotels in Latin America.
“With its strong financial position and now a structurally generating cash model, the Accor Group, through this acquisition, records another success and confirms its ambitious expansion plan,” said Denis Hennequin, Accor’s Chairman & CEO. “Accor strives towards its ambitions, with expansion of its network, revitalisation of the brand portfolio, optimisation of the asset management policy and recognised operational excellence. This operation is in line with our strategic goal: become the global reference in the hotel industry.”
This latest deal follows Accor’s recent acquisition of Mirvac Hotels & Resorts, which has boosted the company’s footprint in Australia and New Zealand.
