PARIS — AccorHotels has entered into exclusive negotiations to acquire a 50-per-cent stake in New York-based SBE Entertainment Group for $125 million.

This strategic partnership will also see AccorHotels invest $194 million in a new preferred debt instrument that will be used to redeem all existing preferred units, bringing the company’s total investment in SBE to $319 million.

This long-term investment will allow SBE to leverage AccorHotels’ global hospitality platform while remaining an independent luxury-lifestyle operator. SBE will continue to be led by its founder and CEO Sam Nazarian and will retains its global headquarters in New York.

“[This partnership] marks a new step in expanding AccorHotels’ footprint in this fast-growing segment in key U.S. cities, such as Miami, Los Angeles or Las Vegas, and in other international destinations,” says Sébastien Bazin, chairman & CEO, AccorHotels. “The new luxury is all about exclusive experiences and incredible lifestyle concepts and SBE brands have the perfect know-how that will complete the AccorHotels portfolio.”

SBE is a leading lifestyle-hospitality company that develops, manages and operates global properties and brands, including Delano, Mondrian and Redbury Hotels. It is known for its 360-degree approach to lifestyle hospitality, which includes branded luxury residences and serviced apartments, wellness and spa platforms and dining and entertainment experiences.


Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.