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Image Credit Grand Park Royal Cancún
- Accor is in exclusive negotiations with the Royal Holiday Group to acquire 17 hotel management agreements, representing 3,200 keys.
- The $79M deal will help fund the $130M renovation plan for these properties over the next 30 months.
Accor has announced exclusive negotiations with Royal Holiday Group to acquire 17 hotel management agreements. This portfolio includes six existing All-inclusive Resorts in Mexico and eleven resorts and city hotels in Mexico, Argentina, Puerto Rico, and the USA. This addition will help boost Accor’s presence in the Americas, specifically in Mexico, and will accelerate the company’s growth in the region.
The total consideration for this acquisition is $79M, which is set to be paid in phases. These funds will contribute to these properties’ $130M renovation plan over the next two and a half years. These strategic acquisitions in beachfront resort destinations will bolster Accor’s portfolio and further enhance its brand presence in the Americas.
After renovations, three properties in Cancun, Cozumel, and Puerto Vallarta will be rebranded as Rixos Hotels. This marks a significant development for Rixos Hotels as it will be their first entry into the Americas. Three other resorts in Cancun, Acapulco, and Ixtapa will retain their existing brand. The remaining eleven properties will be rebranded under either the Swissôtel, Mercure, Mercure Living, or ibis styles following renovations.
Accor’s acquisition is part of its strategy to develop its all-inclusive resort portfolio, which has seen a 25% compound annual growth rate on its network over the past three years. The deal is expected to close in the second half of the year, subject to customary regulatory authorizations, including antitrust approval.
