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AccorHotels To Buy Switzerland's Mövenpick Hotels & Resorts For EUR 482 Mln Cash

French hotel group Accor (ACRFY.PK,ACRFF.PK) announced Monday that it has signed an agreement with Mövenpick Holding and Kingdom Holding to acquire Mövenpick Hotels & Resorts, for a cash amount of 560 million Swiss francs or 482 million euros.

The transaction will have an accretive impact on Group earnings from the first year. The deal is subject to regulatory approvals, and is expected to be completed during the second half of 2018.

Switzerland -based Mövenpick Hotels & Resorts operates in 27 countries with 84 hotels and a particularly strong presence in Europe and the Middle East.

Mövenpick Hotels & Resorts, which employs more than 16,000 people, also plans to open 42 additional hotels by 2021, representing almost 11,000 rooms, with significant expansion in Middle East, Africa and Asia-Pacific.

Sébastien Bazin, Chairman and CEO of AccorHotels, said, "With the acquisition of Mövenpick, we are consolidating our leadership in the European market and are further accelerating our growth in emerging markets, in particular in Middle East, Africa and Asia-Pacific. ...Its European-Swiss heritage is a perfect fit with AccorHotels."

The company said the transaction illustrates the strategy it intends to pursue with the opening up of AccorInvest's capital.

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