Australia’s consumer regulator has finally given the thumbs up for hotel giant AccorHotels to complete its takeover of Mantra Group.
The Australian Competition and Consumer Commission has approved the $1.2 billion acquisition, ruling that the two companies’ portfolios are distinct enough not to cause anti-competitive concerns.
”Accor’s business is mainly focused on hotel-style accommodation and its brands include Sofitel, Novotel, Mercure and Ibis. Mantra’s focus is on serviced apartments, which it offers through its Peppers, Art Series, Mantra and Breakfree brands," ACCC chairman Rod Sims said.
With 127 properties and over 20,000 rooms in hotels, resorts and serviced apartments, Mantra is a major player in Australasia and also has a small presence in Hawaii and Indonesia.
"This operation will underpin our long-term growth in the Asia Pacific region. Mantra’s portfolio would offer AccorHotels additional accommodation formats and a strong customer base to complement our successful hotel portfolio in Australia," said Accor CEO Sebastien Bazin.
AccorHotels has about 200 properties in the region across multiple brands.
The deal still needs to go before the Mantra board and is subject to scrutiny by Australia’s Foreign Investment Review Board.
