Accor seals mega deal

Firm takes grip on accommodation sector

ACCORHOTELS has finalised its $1.2 billion takeover of the Mantra Group.

The deal includes the Mantra, Peppers, BreakFree and Art Series brands, representing 138 hotels in Australia, New Zealand, Hawaii and Bali.

It creates the largest accommodation group in Australia, including the Far North.

Mantra operates six hotels at Port Douglas, three in Cairns and two at Palm Cove, including the Peppers and BreakFree brands under its umbrella. Accor has 11 hotels, including the two Pullman brands in the Cairns CBD as well as at Palm Cove and Port Douglas.

AccorHotels Asia Pacific chairman and CEO Michael Issenberg said the acquisition was “the latest chapter in the strong growth story of AccorHotels in the region”.

“Since our launch with the Novotel Sydney on Darling Harbour in 1991, AccorHotels has become the largest hotel group in the Pacific and Australia has always played a key role in that story,” he said.

“AccorHotels is a significant contributor to the Australian tourism industry and this deal is a signal of our confidence in Australia both as an attractive destination for global travellers but also as a feeder market for our Asia Pacific and wider network.”

AccorHotels will operate more than 330 hotels and resorts across Australia and over 900 throughout Asia Pacific.

AccorHotels Pacific chief operating officer Simon McGrath said the Mantra Group brands would enhance AccorHotels’ portfolio and create new opportunities for staff, partners and guests.

“We believe that tourism is critical to the economic growth of the region and future job creation and this deal will allow us to further develop the industry,” he said.

Mr McGrath said innovative growth was a hallmark of both groups. “Our innovation in economic business models, brands and customer initiatives has fuelled our growth over the last 27 years and the Mantra Group has built an innovative business focused on the best partnership experience for its 10,000 strata title owners,” he said.

“Under Bob East’s leadership this bespoke approach and responsiveness has seen it maintain and grow rooms under management.”