Accor has announced plans to sell down its final stake in Essendi, the company formerly known as AccorInvest, as it completes the process of divesting hotel assets.
The 30.56% stake will be sold to investors Blackstone and Colony IM, in a deal worth up to EUR975 million. An initial EUR675 million will be paid, with the balance due over time, dependent on the assets meeting key performance conditions.
A Shift to Asset Light
For Accor, the move is a final step in the journey to becoming an asset light organistation, something chief executive Sebastien Bazin committed to several years ago. The asset light structure is similar to that adopted by other major hotel groups such as Marriott, Hilton and IHG, in that the business does not own any hotel properties, instead creating its value from managing its brands and supporting the effective operation of hotel properties.
The first stage of the shift was the creation, in 2017, of AccorInvest. This was a vehicle set up alongside Accor, to hold all the group’s property ownerships and liabilities. As well as owning hotels, it was also responsible for operating many of the properties, including those held under long lease commitments. Setting up AccorInvest also allowed Accor to introduce other investors to take a stake in the business, such as GIC, PIF and Credit Agricole.
In April 2025, AccorInvest rebranded to Essendi, noting the organisation’s further shift away from direct control by the Accor group. The company was now more clearly positioned as a business working to manage a large portfolio of hotel and hospitality assets, focused on key elements of sustainability and connection with local communities where those assets are based.
In recent years, the group has taken steps to reduce its geographical coverage, trimming its portfolio down to one largely based in Europe. Disposals have included the sale of its assets in Africa and Australia in 2021, followed by the sale of AccorInvest’s Japanese hotels in 2023.
In late 2024, it agreed a deal to divest key interests in South America. Brazilian bank BTG Pactual agreed to buy 22 hotels, located across five Brazilian states. A year later, the company agreed to sell its five hotels in the Argentinian cities of Buenos Aires and Mendoza to local investor ISWM Group.
A Commitment to Invest
Alongside the disposals, there have been strategic investments in the portfolio. These have included the opening of new hotels, such as Tribe Krakow Old Town in Poland, and refits to maintain asset values, such as at the updated Novotel Zurich Airport Messe. In Edinburgh, Essendi bought the freehold of the Ibis Edinburgh Centre South Bridge, giving it full control over a 259 room asset it already operated.
The sale agreement includes a commitment that will see Accor continue to brand properties into the future, many under its Ibis and Mercure flags. There is a plan to migrate property agreements to largely franchise deals, with agreements extended for 20 years. For Accor shareholders, the deal will result in the return of around EUR500 million of the proceeds, via planned additional share buybacks in the near future.
