News for the Hospitality Executive
Accor Sells Red Roof Inn Brand (341 hotels) to Citi's
Global Special Situations Group
and Westbridge Hospitality Fund, L.P. for US 1.313 billion
|PARIS, September 10, 2007 - Accor today announces the completion
of the sale of Red Roof Inn (341 hotels - 36,683 rooms) to a consortium
comprised of Citi's Global Special Situations Group and Westbridge Hospitality
Fund, L.P. for US 1.313 billion dollars.
Following the divestment, Accor is refocusing on a single brand, Motel 6, the leading economy hotel chain in the United States. Motel 6 operates 928 hotels across North America. The chain enjoys very high brand recognition and a unique positioning, established more than 30 years ago, as offering "the best price of any national chain".
Regarding this operation, Gilles Pelisson, CEO, said: "The United States is a key market for us. With the ambition of being the world leader in economy and budget hotels, Accor plans to step up development of Motel 6 by opening more than 200 units in the United States and Canada by 2010."
The Global Special Situations Group of Citigroup Global Markets Holdings Inc is a principal investment group that invests Citi's capital in event-driven and special situation strategies globally.
Westbridge is a partnership between Westmont Hospitality Group and a number of Canadian pension fund managers, including Cadim Inc., a division of Caisse de depot et placement du Quebec, and Regime de rentes du Mouvement Desjardins. Westmont is one of the largest private owner/operator of hotels in the world.
Accor's financial advisor on the transaction was Bank of America.
Accor, the European leader and a major global group in hotels, the global leader in services to corporate clients ans public institutions, operates in nearly 100 countries with 170,000 employees. It offers to its clients over 40 years of expertise in its two core businesses:
|Also See:||Micheal Levie, CEO of New Start-up Hotel Chain Onestarisborn, Will Present a Session Exploring Hotel Technology Needs at the European Hospitality Technology Education Conference - February 19, 2007 in Amsterdam / January 2007|