Accor to merge with Ennismore to create new lifestyle powerhouse

Accor to merge with Ennismore to create new lifestyle powerhouse

Accor and Ennismore have entered into exclusive negotiations to create the world's largest operator of lifestyle hotels, which is the sector experiencing the strongest growth in the industry. This merger achieved through the contribution of assets will give birth to a new autonomous and fully asset-light entity, which will bring together a unique portfolio of global brands, including The Hoxton, Gleneagles, Delano, SLS, Mondrian, SO /, Hyde, Mama Shelter, 25hours , 21c Museum Hotels, TRIBE, JO & JOE, or WorkingFrom_. This London-based entity will take the name of Ennismore.

 

Sharan Pasricha, Founder and CEO of Ennismore, and Gaurav Bhushan, CEO of the Lifestyle division of Accor, will co-lead the merged entity and will be supported by an experienced international management team, made up of the best talents from different brands. and activities. Accor will be the majority shareholder of this new entity, Sharan Pasricha will hold a substantial minority stake. The new venture will bring together 12 brands and 73 hotels in operation, to which will be added more than 110 establishments for which firm opening commitments have already been signed and around 70 other opening projects under study, and over 150 restaurants and bars. 

 

As part of the creation of Ennismore, Accor intends to acquire the interests of its partners in sbe, Mama Shelter and 25hours. This merger project also provides for the creation of a new company, which will own all the leased assets. The deconsolidation of existing rents will have a positive effect of 52 million euros on the consolidated net debt of the Accor group in 2020. Under the direction of Sharan Pasricha and Gaurav Bhushan, each of the brands that will make up this new set will remain faithful to its original culture and its DNA, relying on dedicated teams and with the contribution of each of the founders who are at their origins, including the Trigano family (founders of Mama Shelter), Christoph Hoffman (founder of 25 Hours), Sam Nazarian (founder of sbe), Laura Lee Brown and Steve Wilson (21C), of Melissa and Mark Peters (TRIBE).

 

Sharan Pasricha, Founder and CEO of Ennismore, said: “For nine years, with Ennismore, our mission has been to create brands that inspire discovery. I am passionate about the feelings that brands can generate, from personalizing the digital experience to design. Surrounded by a team of amazing creatives and operators, we have rolled out The Hoxton internationally, reinvented Gleneagles and created unique restaurant and bar concepts. This exciting project that we are carrying out with Accor - a project that places the meaning and mission of each brand at its heart - allows us to bring together our portfolios of exceptional brands, accelerate our growth and explore new horizons. I look forward to working with Gaurav and Sébastien as this new chapter opens, and to evolve as an innovative and truly unique hotel player."

 

Gaurav Bhushan, CEO of lifestyle activities, Accor, declared: “Our merger with Sharan and the talented teams that make up Ennismore represents a key step in the development strategy of the Accor group. This is an opportunity for us to build an unrivalled portfolio of exceptional brands, which will appeal to our owners, partners and customers, with the support of the greatest talents in the sector, with some of the best distribution and tools in the world. industry, and the common ambition to pursue our growth and continue to innovate. I can't wait to start this new collective adventure."

 

Sebastien Bazin, Chairman and CEO of the Accor group, said: “Lifestyle, entertainment, places with a soul, have been at the heart of our development and growth strategy for many years. This partnership with the founder of Ennismore, Sharan Pasricha, and his talented teams, will give new impetus to our ambition in the field of lifestyle. With this merger, we are once again breaking new ground by creating the largest and fastest-growing brand ecosystem in the industry. The lifestyle is a world of the hotel industry driven by passionate and daring entrepreneurs, who constantly reinvent the world of travel. I am proud to see Accor alongside the most creative and talented of them. This new organization aims to establish itself as the engine of our future growth."

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