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While it might seem like AccorHotels is spending money just for the sake of it, this deal seems to make strategic sense as it complements its existing operations, while at the same time offering something new for its food and beverage and events operations.
AccorHotels is looking to add to its streak of recent acquisitions by taking a stake in Potel & Chabot Group.
The hotel group is teaming up with Edmond de Rothschild Investment Partners to buy the company, which operates at major sporting events such as the French Open tennis tournament and the 24 Hours of Le Mans endurance race.
If the negotiations succeed, AccorHotels would own 40 percent of the company while its partner would have 51 percent. Potel & Chabot Group’s current majority shareholder is private equity firm 21 Centrale Partners. The price of the proposed acquisition has not been disclosed.
Potel & Chabot Group was founded in 1820 and has revenues in excess of $109 million. In addition to operating at sporting events, it also runs receptions for corporate and private clients and manages venues across Paris.
AccorHotels is hoping that the tie-up would enable it to jointly develop new food and beverage offerings for MICE (Meetings, Incentives, Conferences and Events) guests as well as locals through a concierge service.
Expanding its non-traditional hotel business is a key plank of AccorHotels’ current strategy.
In the last six months, it has taken a stake in Turkey-based Rixos Hotels, Banyan Tree and concierge provider John Paul as well as entering into negotiations to buy private vacation rental platform Travel Keys.
Sven Boinet, Deputy Chief Executive Officer of AccorHotels, said: “The partnership of AccorHotels with Potel & Chabot… brings a complementary dimension and expertise to our F&B (food and beverage) and event organization strategy.
“Moreover, the combination of their knowledge with our leading positions in luxury hospitality, private rental and concierge services will provide our clients with unique services and expertise regarding tailor-made events. It gives us a real boost and allows us to create new growth opportunities beyond the world of travel.”
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Tags: accor, events, food and beverage, meetings
Photo credit: Racing during the 24-hour Le Mans endurance race. AccorHotels is looking to take a stake in a company that operates at sporting events. Bob Edme / Associated Press