FRHI acquired for EUR2.6bn, QIA and Kingdom take a 15% equity stake
Key takeaways
• Accor acquires brand operator FRHI for EUR2.6bn, 20x EV/EBITDA pre synergy, 14x
post synergy, 10x post pipeline contracts.
• Deal funded 30% cash, 70% equity with Qatar Investment Authority and Kingdom
Holdings taking a 15% stake in the group.
• A headline expensive deal, liable to be modestly EPS dilutive near term but accretive
medium term. Restructuring unaffected.