Hotel group AccorHotels has paid €35m ($39m) for a 30% stake in Germany-based boutique hotel owner 25hours Hotels, Reuters reported yesterday.
Founded in 2005, 25hours operates seven concept hotels across Germany and Switzerland, and intends to open a further five in the next two years, in Zurich, Munich, Cologne, Düsseldorf and Paris.
AccorHotels is providing the funding as part of a strategic partnership with 25hours it announced yesterday that will involve it helping the company expand internationally.
Sébastien Bazin, chairman and CEO of AccorHotels, said: “This alliance came about because we were immediately attracted by these individual, design-oriented boutique hotels that are a great workplace for urban nomads and an ideal starting point for outings into key cities.
“Through this partnership, AccorHotels is investing further in one of the fastest growing segments in the industry and enriching its offer to achieve scale in this segment. Today, we are going one step further in our strategy to be a global leader in lifestyle hotels.”
The companies will also form a creative laboratory in Hamburg called Extra Hour Lab that will look to develop and experiment with design, atmosphere and storytelling concepts for the hotel industry.
AccorHotels has moved into strategic investment over the past year, notably taking part in an $11.2m round for France-based online media company Melty in December 2015 and acquiring luxury accommodation rental platform Onefinestay for $168m four months later.
– Photo courtesy of 25hours Hotels