Accor buys franchises to 24 hotels following RBS-backed Ramada Jarvis buyout

Hotel group Accor has signed an agreement with the new owners of debt-ridden Ramada Jarvis that will see it extend its UK presence by another 24 Mercure-branded venues.

The agreement has been reached with Royal Bank of Scotland (RBS)-backed consortium Jupiter Hotels, which was formed at the end of last week in order to buy out troubled Ramada Jarvis, a move that secured the jobs of around 2,000 staff.

Accor’s deal with Jupiter will enable it to grow its share of the UK mid-scale market, adding 2,664 rooms to its portfolio and bringing its total to 68 Mercure-branded hotels. It is part of the group’s target to control a network of 300 hotels in the UK by 2015. The properties will be based in locations including London, Leeds, Manchester, Bristol, Brighton and Leicester.

Jean-Jacques Dessors, Accor UK’s chief operating officer, said: "This major franchise agreement is a significant milestone for Accor in the realisation of our ambitious growth targets.

"This expansion further demonstrates our commitment to building the Mercure hotel brand in the UK, which is such an important market for Accor. We will continue to pursue further franchise growth opportunities this year and beyond."

Jupiter Hotels was formed last week from a joint venture between RBS’s West Register property group and private equity firm Patron Capital. The partnership said it would inject £40m into the group. The takeover of safeguards the jobs of around 2,000 staff, although Jarvis’s board of directors will not transfer to Jupiter.

Have you registered with us yet?

Register now to enjoy more articles
and free email bulletins.

Register now
Already registered?
Sign in
Simple steps for sustainable events

Simple steps for sustainable events

Something as simple as choosing a well-insulated venue could have a big impact on your event's carbon footprint.

The Times Square Edition to open in 2019

The Times Square Edition to open in 2019

Edition Hotel will welcome guests from spring and feature a beer garden, event deck and all-day dining venue.

'Green White Paper' on sustainability published by BCD Meetings and Events

'Green White Paper' on sustainability published by BCD Meetings and Events

BCD Meetings and Events 'Green White Paper' explores sustainability in meetings and events industry.

What will be the top 10 destinations for meetings and events next year?

What will be the top 10 destinations for meetings and events next year?

Global DMC Partners reveals its predictions for the top meeting and incentive destinations in 2019.

Incentive ideas in Azores, the Algarve and Madeira

Incentive ideas in Azores, the Algarve and Madeira

Whether it's canoeing in a volcano or simply luxuriating in the five-star spa in a fancy hotel in the Algarve, Portugal is back in fashion.

New head of incentive travel for SevenEvents

New head of incentive travel for SevenEvents

Former C&IT A-Lister Heléna Vella has joined SevenEvents to head up the newly-formed incentives team.

Behind the winning entry: Best Use of Technology

Behind the winning entry: Best Use of Technology

SPARK THINKING organised Jaguar Land Rover's Graduate & Apprentice Induction Programme.

Battersea Power Station reveals plans for 'glass elevator' and viewing platform

Battersea Power Station reveals plans for 'glass elevator' and viewing platform

Owners say unique Chimney Lift experience will offer "breathtaking" views across London when it opens in 2021.

Banks Sadler hires new head of business development and senior bid writer

Banks Sadler hires new head of business development and senior bid writer

Agency says the appointment of Sue Darlaston and Jamie Blackall from HRG are 'a brilliant addition to the team'.

Why MICE planners need to think about leisure

Why MICE planners need to think about leisure

A look at how a destination's leisure offering can increase the success of business events.

LATEST JOBS