Accor — M&A Activity 2011

Sep 30, 2011

Press release September 30th, 2011

Accor signs major UK hotel deal 24 hotels join Mercure network in the UK

Accor, the world's leading hotel operator and the market leader in Europe, is set to realise its ambition to increase the UK network to 300 hotels by 2015 with the signing of a franchise agreement with Jupiter Hotels Ltd, the new owners of the former Jarvis hotels. This is a landmark deal for the UK hotel industry in 2011.

In what is the biggest franchise deal for Accor this year, 24 hotels - or 2,664 rooms - will open under the Mercure hotel brand across the UK, bringing the total number of Mercure hotels in the UK to 68. The deal is the latest in a series of franchise agreements which has seen the Mercure brand expand rapidly in the UK in recent months, making Mercure a major player in the local mid-scale market.

The new hotels are located in a range of locations across the UK, including popular tourist destinations like Brighton, York, Edinburgh and Inverness, and key towns such as London, Leeds, Bradford, Manchester, Bristol, Gloucester and Leicester. The partnership with Mercure will allow the hotels to retain their individuality and style whilst joining an established network of over 700 midscale hotels operating in more than 50 countries across the world.

Jean-Jacques Dessors, Chief Operating Officer of Accor UK and Ireland said, "This major franchise agreement is a significant milestone for Accor in the realisation of our ambitious growth targets. This expansion further demonstrates our commitment to building the Mercure hotel brand in the UK, which is such an important market for Accor. We will continue to pursue further franchise growth opportunities this year and beyond."

The new Mercure hotels will include:

• Mercure Ayr Hotel Mercure Bolton West Hotel Mercure Bradford North Hotel Mercure Brighton Seafront Hotel Mercure Bristol North The Grange Hotel Mercure Burton Upon Trent Newton Park Mercure Chester East Hotel Mercure Edinburgh Mount Royal Hotel Mercure Glasgow City Hotel Mercure Gloucester, Bowden Hall Hotel Mercure Hull North Humberside Hotel Mercure Inverness Hotel
• Mercure Kidderminster Hotel Mercure Leeds Parkway Hotel Mercure Leicester City Hotel Mercure London Watford Hotel Mercure Maidstone Hotel Mercure Manchester Piccadilly Hotel Mercure Newbury Elcot Park Hotel Mercure Norwich Hotel Mercure Swansea Hotel Mercure Tunbridge Wells Hotel Mercure Wetherby Hotel Mercure York Fairfield Manor Hotel

For more than 35 years, within the Accor Group, Mercure has exemplified expert hospitality and personalised service. Operating in more than 50 countries around the world, Mercure boasts hotels with distinctive personalities carefully preserved through the type of services offered and the decor, both of which vary from one hotel to the next. The hotel managers and staff of the 700 Mercure hotels are hospitality professionals. Attentive and available, they are ready to listen and make sure their guests enjoy a stay full of genuine moments of pleasure and relaxation in a truly warm and comfortable setting.

Accor, the world's leading hotel operator and market leader in Europe, is present in 90 countries with 4,200 hotels and more than 500,000 rooms. Accor's broad portfolio of hotel brands - Sofitel, Pullman, MGallery, Novotel, Suite Novotel, Mercure, Adagio, ibis, all seasons/ibis styles, Etap Hotel/ibis budget, hotelF1 and Motel 6 - provide an extensive offer from luxury to budget. With 145,000 employees worldwide, the Group offers to its clients and partners nearly 45 years of know-how and expertise.

Charlotte Thouvard VP EMEA & Global Media Relations T : + 33 1 45 38 18 28

Elodie Woillez Press office T : + 33 1 45 38 87 08

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