AccorHotels and Algeciras agree to buy Chilean group Atton Hoteles

Travel and Lifestyle Press Releases Monday May 14, 2018 18:11
Bangkok--14 May--AccorHotels

AccorHotels and Chilean group Algeciras announce that they signed an agreement with the shareholders of Atton Hoteles in order to acquire the company. As per the agreement, AccorHotels will acquire 100% of the management Company that operates 11 Atton hotels (2,259 rooms) across Chile, Peru, Colombia and Florida, USA. Besides, AccorHotels will acquire 20% of the Property Company that owns these assets, the remaining 80% being bought by Algeciras. Atton Hoteles was founded in Chile in 2000. The hotels cater to the business travelers on the midscale and upscale segment. It has 3 hotels under development. In order to capitalize on Atton's existing brand equity, most of these properties will be co-branded with AccorHotels brands, before being fully rebranded to Pullman, Novotel, MGallery & Mercure in the midterm.

Total cash consideration for AccorHotels will be US$105m or c. EUR89m at current exchange rate, including EUR67m for the operating Company, and EUR22m for the 20% stake in the real estate arm, reflecting post-synergies & pipeline 2020e EV/EBITDA of respectively 10X and 9X. The transaction will have an accretive impact on Group earnings from the first year. AccorHotels will have a put option to sell its 20% in the PropCo to Algeciras after five years.

This acquisition further consolidates the current footprint of AccorHotels in Latin America, where the Group has built leadership for many years, with 335 hotels operating, and 166 under development, while strengthening its presence in fast growth markets such as Chile & Peru.

Patrick Mendes, CEO of AccorHotels for South America stated: "We are delighted to have come to this strategic agreement with Algeciras. With Atton's portfolio, AccorHotels will strengthen its leadership position in Latin America and complement its offer to its customers and loyalty members with attractive key destinations".

The transaction is subject to regulatory approvals. It should be completed during the second half of 2018.

Latest Press Release

Loy krathong Delight Dinner Buffet at D-Square, dusitD2 Chiang Mai

Invites you to celebrate the Loy Krathong festival with family and friends to create lasting memories of a wonderful holiday. Enjoy delectable dinner buffet such as a variety of grilled items, seafood on ice, salad bar, live pasta & sushi station,...

Sauteed Clams Served with Pizza Bread At No. 43, Cape House, Bangkok

Over the month of December, No. 43 Italian Bistro, Cape House, Bangkok proudly presents a special menu item "Sauteed Clams Served with Pizza Bread", featuring Italian-style pizza bread from the skillful hands of our Italian chef. This dish combines...

Photo Release: Amazing Thailand Grand Sale Passport privileges project by TAT

Mr. Weerasak Kowsurat, Minister of Tourism and Sports, recently presided at the press conference on Amazing Thailand Grand Sale "Passport Privileges" in order to stimulate travel and spending of foreign tourists organized by Mr. Yuthasak Supasorn,...

Count Down to Black Friday and Cyber Monday Deals - Expedia Thailand Announces Great Travel Offers for Thai Travellers

Expedia.co.th today officially announced the beginning of Black Friday and Cyber Monday deals. The countdown for bargain-hunters who look forward to the two biggest shopping sales of the year is over. This year Expedia offers almost five times the amount...

BEST WESTERN HOTELS RESORTS ANNOUNCE FIRST AIDEN HOTEL AND SADIE HOTEL LOCATIONS

After recently launching its two new boutique brands, Best Western Hotels & Resorts today announced its first Aiden Hotel and Sadie Hotel locations. The first-ever Aiden Hotel opened last month in Seoul, South Korea, and the next is set to open in...

Related Topics