AccorHotels has agreed to sell 55% of its hotel real estate business,
AccorInvest, for about $5.4 billion to a group of investors that includes
Singapore's and Saudi Arabia's sovereign wealth funds.
AccorInvest has 891 hotels, including 324 that are owned
outright and 567 controlled through a leasehold interest.
As part of the agreement, AccorHotels will retain 30-year
management contracts for economy and midscale hotels, and 50-year contracts for
AccorHotels will use the proceeds to continue its expansion.
The company acquired Fairmont, Raffles and Swissotel in 2016 for about $2.7
billion, and later that year bought a stake in Banyan Tree. It bought a stake in boutique chain Mama Shelter in 2014.
Last fall, AccorHotels agreed to acquire half of the Orient-Express
brand from French national rail company SNCF Group, and it agreed to acquire
Australia hotel company Mantra Group for $930 million.
In the past two years, the company has also made investments
in private rental brands – Onefinestay, Squarebreak, Oasis Collections and
Accor's hotel brands include Ibis, Mercure, Mercure Grand,
Pullman, Novotel, Sofitel, Adagio and MGallery.