Brazil Hospitality Group (BHG) and its shareholders have inked an agreement with French group AccorHotels by means of which Accor will reflag and manage a portfolio of 26 hotels (4,400 rooms).
AccorHotels will pay BRL 200m (USD 64.15m) for the transaction.
BHG is the largest owner of hotel real estate in Brazil and the third largest hotel management company. As soon as the transaction is completed, BHG will maintain a leadership position as a hotel management company, operating 20 hotels with 3,700 rooms in all categories, including the management of Marina Palace Hotel, a landmark hotel in Rio de Janeiro, Brazil.
BHG was advised by Avington and Accor was advised by ItaÃº BBA.
Both companies expect that the transaction will be completed in the last quarter of 2017, after approval by the Administrative Council of Economic Defense (CADE).
BHG, third largest hotel chain in Brazil, has as its mission to host and make people feel good.
GP Investments is a listed company since 2006 with USD 1bn in proprietary capital. Since its inception in 1992, the company has raised approximately USD 5.0bn from international investors and has acquired 54 companies in 16 sectors.
AccorHotels is a world-leading travel & lifestyle group and digital innovator offering unique experiences in more than 4,000 hotels, resorts and residences, as well as in over 3,500 of the finest private homes around the globe.