Accor finalizes deal to acquire Mirvac

Accor, Paris, has agreed to acquire Australia-based Mirvac, which manages some 48 hotels across Australia and New Zealand, for €195 million (US$254 million). The deal was first reported last week, although the companies would not confirm it at that time.

Accor will pay €149 million (US$193.8 million) for Mirvac Hotels & Resorts. In addition, with Ascendas, a Singaporean real estate developer, for €46 million (US$59.8 million) it will take Mirvac’s 49.2% stake in a fund that owns 7% of the hotels.

The move — which adds 6,100 upscale and midscale guestrooms and increases Accor’s hotel count past 500 in Asia Pacific — is in line with the company’s stated intention to add some 40,000 rooms over the next two years. It also gives Accor 241 hotels and 32,500 rooms across Australia and New Zealand.

“This operation is a major success in a high growth market. With our growth strategy which includes both organic growth and targeted acquisitions such as this one, enabled by our excellent financial situation, I am confident in our capacity to reach our objectives,” said Denis Hennequin, Accor chairman and CEO. “With an accelerated growth of our offer, stronger brands, unique operational know-how and a dynamic asset-management policy, Accor is today aligned with its ambition to become the global reference in the hotel industry.”