Accor is to sell a 10.8% stake in lifestyle hospitality offshoot Ennismore to a Qatari consortium for €185 million.
The French hotels group said the deal valued Ennismore, known for Hoxton hotels in London and New York and Gleneagles in Scotland, at more than €2 billion, showing growing interest in high-end lifestyle brands even as the cost of living soars.
Accor is to also merge its stakes in hotel brand Rixos and upscale restaurant operator Paris Society into Ennismore, which the group jointly founded with London-based hospitality entrepreneur Sharan Pasricha.
The fast-growing business has been opening a new hotel every two weeks, and has more than 130 properties in nearly 40 countries.
The deal is expected to be completed in the second half of the year, leaving Accor with a 62.2% stake in Ennismore.
Accor chairman and chief executive Sebastien Bazin said: “In only a few years, Accor together with the three talented founders of Ennismore, Rixos and Paris Society, have built a powerhouse of global lifestyle brands supported by dedicated entrepreneurs and talented teams.
“Pulling them together and joining forces with our Qatari partners will further unlock the value of Ennismore and take it to the next level.
“This is a recognition of the strength Ennismore’s portfolio of lifestyle brands and its unique business model based on constant innovation, highest quality, sense of purpose and solid growth”.