Accor Agrees to Sell Hotel Stake to Blackstone Consortium

Accor SA has signed a memorandum of understanding to sell its stake in Essendi to a consortium including Blackstone Inc. for up to €975 million ($1.1 billion).

Under the agreement, Blackstone and Colony Investment Management will buy Accor’s 30.56% stake in Essendi, formerly known as AccorInvest, according to a statement Wednesday. As part of the deal, Accor could receive up to €975 million — €675 million of which will be received when the transaction closes, as well as an earn-out of up to €300 million. As part of the deal, Essendi’s portfolio will gradually be converted into franchise contracts.