AccorHotels this week announced it has completed its acquisition of Mantra Group for $1.2 billion. The deal includes the Mantra, Peppers, BreakFree and Art Series brands, representing 138 hotels in Australia, New Zealand, Hawaii and Bali.
Michael Issenberg, chairman and CEO of AccorHotels Asia Pacific said: “The Mantra Group is the latest chapter in the strong growth story of AccorHotels in the region. Since our launch with the Novotel Sydney on Darling Harbour in 1991, AccorHotels has become the largest hotel group in the Pacific, and Australia has always played a key role in that story.
“AccorHotels is a significant contributor to the Australian tourism industry, and this deal is a signal of our confidence in Australia both as an attractive destination for global travellers but also as a feeder market for our Asia Pacific and wider network.”
At the close of the deal yesterday (May 31), AccorHotels will operate more than 330 hotels and resorts across Australia and more than 900 throughout Asia Pacific.
Simon McGrath, COO of AccorHotels Pacific said: “The Mantra Group brands will enhance AccorHotels’ portfolio and create new opportunities for our people, partners and guests. We believe that tourism is critical to the economic growth of the region and future job creation and this deal will allow us to further develop the industry.”
Bob East, CEO of Mantra Group added: “I am immensely proud of the great company we’ve built and what we’ve achieved as an Australian-based business. It’s been an enjoyable journey for me leading the team since 2007 through to our float on the ASX in 2014 and now closing this deal with AccorHotels. I have enormous belief in the business and the team here is looking forward to working with Simon and AccorHotels to continue this success.”
The Mantra Group leadership team will continue to be based in the Gold Coast office, reporting to McGrath, in line with all other AccorHotels Pacific business units.
“I’m looking forward to getting my feet under the desk at the Gold Coast, working with the team and getting to know the detail of this business. We welcome our Mantra colleagues to AccorHotels and together, we will benefit from our shared values, expertise and entrepreneurial spirit,” McGrath said.