AccorHotels is mounting a multi-million euro full take over of Polish hotel chain Orbis.

The French hospitality giant is set to acquire the outstanding 47.31% in the company it does not already own.

The overall cash consideration is expected to amount to €442 million, assuming AccorHotels acquires 100% of the shares it does not currently own.

Meanwhile, AccorHotels is targeting a doubling of earnings [EBITDA] to reach €1.2 billion by 2022 driven by:

• The integration and ramp-up of recent acquisitions,
• Solid revenue growth, reflecting both sound business levels in the group’s key markets and the continued increase in development, supported by the upscaling of its brand portfolio,
• Operating margin improvement, thanks to strict control of central costs.

Warsaw-based Orbis is the largest hotel operator in central and eastern Europe and the exclusive master franchisee of certain AccorHotels brands in the region.

Its portfolio comprises 128 hotels with 21,000 rooms in 16 countries – Bosnia and Herzegovina, Bulgaria, Croatia, Czech Republic, Estonia, Hungary, Latvia, Lithuania, Macedonia, Moldova, Montenegro, Poland, Romania, Serbia, Slovakia and Slovenia.

These are operated under the Sofitel, Pullman, MGallery, Novotel, Mercure, ibis, ibis Styles and ibis budget brands.

The French hospitality giant’s CEO Sebastien Bazin said: “AccorHotels and Orbis have built a long-term partnership since their first business agreement 45 years ago.

“As its largest shareholder since 2000, AccorHotels has fully supported Orbis’ growth in Poland, then across central Europe since 2014, where Orbis has become today a formidable leader.

‘The proposed transaction will enable AccorHotels to accelerate its development in the region. In addition, it will enable AccorHotels to further implement its active asset management policy.”