PARIS, - Hotel giant Accor said Wednesday it will sell its 49% stake in French casino company Groupe Lucien Barriere for €268 million as it continues its strategy to focus on its core hotel business.
The price, equivalent to $352 million, is less than the €282 million it had hoped to get for the stake through an aborted stock market listing for casino group.
The Lucien Barriere group now owns 37 casinos and 16 luxury hotels including Fouquet's in Paris and the Majestic in Cannes, and 131 restaurants and bars.
It has annual sales of about €1.0 billion and employs 6,600 people.
The transaction, to be completed in the first quarter of this year pending approval from competition authorities, will see Groupe Lucien Barriere buy a 15% stake for €82 million.
The shares will be annuled after the transaction and take the family's control of the company to 60%, Groupe Lucien Barriere said.
The Fimalac holding company will by the other 34% for €186 million, and will end up with a 40% stake.
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Source: AFP
Publisher: I-Net Bridge
Source: I-Net Bridge
