Accor completes sale of budget US hotels to Blackstone for US$1.9 bil.
October 3, 2012, 11:49 am TWN
PARIS -- French hotel giant Accor said Tuesday it had completed the sale of its U.S. budget hotel division including Motel 6 to the Blackstone investment fund for US$1.9 billion (1.5 billion euros).
"This transaction allows Accor to reduce its adjusted net debt by about 780 million euros," Accor said in a statement.
At the end of August, Accor's net debt totaled roughly 804 million euros.
When the sale was announced in May Accor said it would also use the funds to tap into growth in Asia.
The sale of 1,102 hotels with 107,347 rooms in the United States and Canada includes the Motel 6 chain and Studio 6, an extended-stay economy chain.