French accommodation giant AccorHotels has completed its acquisition of Mantra Group, the largest Australian based hotel and resort operator, for AU$1.2 billion.
The deal includes the Mantra, Peppers, BreakFree and Art Series brands, representing 138 hotels in Australia, New Zealand, Hawaii and Bali (Indonesia). This brings AccorHotels’ current hotel inventory to over 330 hotels and resorts across Australia and over 900 throughout Asia Pacific.
“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,” said Michael Issenberg, chairman and CEO of AccorHotels Asia Pacific.
He added the 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.”
Simon McGrath (left) and Michael Issenberg celebrating the acquisition at Peppers Solo on the Gold Coast.
The acquisition makes the French hotel group the largest employer on the Gold Coast, outside of government, as well as one of the biggest players in Australia’s hotel sector.
Mantra Group will continue to operate from its Queensland base with its leadership team on the Gold Coast reporting to AccorHotels Pacific COO Simon McGrath.
“Mantra’s brands and properties perfectly complement the AccorHotels network and will enable us to provide new destinations and new experiences for our guests,” said McGrath.
He noted that “innovative growth” was a hallmark of both AccorHotels and the Mantra Group. “Our innovation in economic business models, brands and customer initiatives has fuelled our growth over the last 27 years, and the Mantra Group has built an innovative business focused on the best partnership experience for its 10,000 strata title owners.”
Bob East, CEO of Mantra Group, expressed his pride for “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.”
• All images credit: AccorHotels
