Accor to get 268 mln euros for casino stake
Hotel giant Accor said Wednesday it will sell its 49 percent stake in French casino company Groupe Lucien Barriere for 268 million euros as it continues its strategy to focus on its core hotel business.
The price, equivalent to $352 million, is less than the 282 million euros 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 euros 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 percent stake for 82 million euros.
The shares will be annuled after the transaction and take the family's control of the company to 60 percent, Groupe Lucien Barriere said.
The Fimalac holding company will by the other 34 percent for 186 million euros, and will end up with a 40 percent stake.
© 2011 AFP