Accor sells 30.7% stake in Essendi
In a move to “simplify and strengthen” its business model, Accor has signed a definitive binding agreement to sell its stake in Essendi to a consortium of Blackstone and Colony IM for up to €975 million.
The approximate 30.7% sale of its stake in Essendi (formerly AccorInvest) on July 23 is in line with an earlier announcement made in April.
The terms of the agreed sale include the disposal of Accor’s entire stake to a consortium comprised of Blackstone and Colony IM for a consideration of up to approximately €975 million, including around €675 million to be received upon closing of the transaction and an earn-out of up to 300 million euros.
Furthermore, the MOU includes a gradual conversion of Essendi’s hotel portfolio into franchise contracts, said to be in line with the Group’s strategy to “simplify and further strengthen the resilience and predictability of its business model”.
Following the completion of the transaction, which is expected to close in the fourth quarter of 2026 after customary regulatory and antitrust approvals, all hotels in the portfolio would remain under Accor brands, and the new franchise agreements would have an average duration of 20 years.
“Accor confirms that the transaction would be consistent with the recurring EBITDA trajectory presented at the Capital Markets Day on June 27, 2023,” according to the Group’s statement.
After the deal closes, Accor expects to return most of the disposal proceeds to shareholders through an additional €500 million share buyback program.
The move leans into an asset-light strategy in line with industry trends as hotel groups shift toward a franchise-led model.
by Daisy Melwani