Bulletin: French Lodging Group Accor 'BBB-/A-3' Ratings And Outlook Unchanged On Plans To Convert HotelInvest Into A Subsidiary

LONDON (S&P Global Ratings) July 19, 2016-- S&P Global Ratings said today that the ratings and outlook on Accor S.A. (BBB-/Stable/A-3) are not immediately affected by the company's announcement that it plans to turn its real estate arm, HotelInvest, into a dedicated subsidiary. The conversion of HotelInvest into a subsidiary formalizes the restructuring of the group that began in late 2013 with the creation of two distinct business lines: HotelServices, which manages 3,940 Accor branded hotels under management and franchise contracts, and HotelInvest, which owns or manages 1,183 hotels under leases. Since 2013, Accor has been intensively restructuring HotelInvest to increase the quality of the hotel portfolio and improve its margins. The conversion of HotelInvest to a subsidiary will not

...LONDON (S&P Global Ratings) July 19, 2016-- S&P Global Ratings said today that the ratings and outlook on Accor S.A. (###-/Stable/A-3) are not immediately affected by the company's announcement that it plans to turn its real estate arm, HotelInvest, into a dedicated subsidiary. The conversion of HotelInvest into a subsidiary formalizes the restructuring of the group that began in late 2013 with the creation of two distinct business lines: HotelServices, which manages 3,940 Accor branded hotels under management and franchise contracts, and HotelInvest, which owns or manages 1,183 hotels under leases. Since 2013, Accor has been intensively restructuring HotelInvest to increase the quality of the hotel portfolio and improve its margins. The conversion of HotelInvest to a subsidiary will not directly affect its operations or those of HotelServices, and our analysis will continue to reflect our view of the consolidated group under the holding company, Accor S.A. We understand that, in the first...

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