Revealed: Accor and IHG considered merger
/
French hospitality company Accor considered a possible merger with the UK’s InterContinental Hotels Group (IHG) – which would have created the world’s largest hospitality company.
French newspaper Le Figaro reported the news, which was then reported by Bloomberg.
it said that Accor Chief Executive Officer Sebastien Bazin created a team in June that included Chief Financial Officer Jean-Jacques Morin and bankers from Centerview and Rothschild, to look into a possible deal.
Accor’s board was in favour of the idea, but Bazin put the project on hold as he thought it wasn’t the right time.
According to Reuters, an Accor-IHG merger would create a US$17 billion super-firm of more than 11,000 hotels. A merger would also put the two firms ahead of rival Marriott in terms of rooms, with more than 1.6 million between them.
A merger would bring together IHG brands such as Holiday Inn and Crowne Plaza with Accor’s Raffles, Sofitel and Ibis. It would also save on HQ expenses and loyalty programs, said Le Figaro.
