Kingdom Holding Company (KHC) chaired by HRH Prince Alwaleed Bin Talal Bin Abdulaziz Alsaud, announced that it has signed an agreement to combine its Fairmont Raffles Hotels International (FRHI) luxury hotel platform with Accor Hotels.
The combination will create one of the largest and most diverse hospitality platforms in the world with over 3,900 hotels and 540,000 rooms under management worldwide.
The agreement with Accor provides an equity stake of approximately 6% of Accor’s share capital post combination, cash payment of $339 million, in addition to various retained assets. The shares will be issued via a reserved capital increase, subject to the approval of Accor’s shareholders at an Extraordinary Shareholders’ Meeting. The transaction is subject to the regulatory approvals of the antitrust authorities. Target completion date is expected during in the year 2016.
About Kingdom Holding Company:
Founded in 1980, KHC is a publicly traded company which was listed on Tadawul (the Saudi Stock Exchange) in 2007. KHC is one of the world’s most successful and diversified business organizations, highly respected in the field of investments and recognized as an elite player regionally and internationally.