Latest news
Accor approves business split plans
European hotel operator Accor's board of directors has voted overwhelmingly in favour of separating its pre-paid services division from its main hotel operations to increase the company's growth.
Plans for a de-merger of the business were unveiled in August after the France-based group - operator of the Ibis an Novotel brands - reported a 54 per cent decline in first-half pre-tax profits. Business reviews carried out by Accor's senior management revealed that there were "no real synergies" between the two divisions, which would also be more attractive to investors as individual businesses.
Accor chair Gilles Pélisson said: "The demerger would create a new, solid, sustainable growth dynamic for both businesses, each of which is a global leader in its respective business. "It would also serve as a growth driver for both hotels and pre-paid services, offering employees the opportunity to take part in two new entrepreneurial adventures, both of which have bright futures ahead of them."
Accor’s pre-paid services business provides products in employee and constituent benefits, rewards and incentives and expense management.