Accor takes Indian partner for budget hotel chain

9th March 2005, Comments 0 comments

NEW DELHI, March 8 (AFP) - Accor, the French hotel and tourism group, and Indian travel company InterGlobe Enterprises Tuesday formed a joint venture firm to open a chain of economy hotels in South Asia, company officials said.

NEW DELHI, March 8 (AFP) - Accor, the French hotel and tourism group, and Indian travel company InterGlobe Enterprises Tuesday formed a joint venture firm to open a chain of economy hotels in South Asia, company officials said.

The new firm, InterGlobe Hotels, a 60:40 venture between InterGlobe and Accor, will invest INR 8.5 billion (EUR 145.6 million) to develop 25 economy hotels across India and South Asia over the next 10 years.

"This is the right time for us to enter the world's fastest-growing travel market. We look forward to giving the middle-class a quality experience at the best value for money," said Accor Asia Pacific managing director Michael Issenberg.

He added that the first two "Ibis" economy hotels would open in India's southern technology hub of Bangalore and Delhi's satellite township of Gurgaon.

"This will be followed with hotels in Pune, Jaipur, Madras, Bombay and two more Indian cities," said Issenberg. "We are scouting for locations."

Hotel industry analysts said they expected Ibis to compete with the budget "IndiOne" chain, launched jointly by India's biggest hotel chain Indian Hotels, which owns the Taj group of luxury hotels, and Fortune from ITC Hotels Limited.

Accor, formed in 1967, has nearly 4,000 hotels in 140 countries.

© AFP

Subject: French News

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