AccorHotels has welcome an Australian Competition & Consumer Commission decision to clear the acquisition of Mantra Group.
The acquisition still requires approval from Mantra shareholders as well as approvals from the Federal Court and the Foreign Investment Review Board.
Mantra is one of Australia’s largest hotel and resort marketers and operators with 127 properties and over 20,000 rooms in hotels, resorts and serviced apartments across Australia, New Zealand, Indonesia and Hawaii.
The properties fall under three key brands: Peppers (28 properties), Mantra (75 properties) and BreakFree (24 properties).
Mantra has more than 5,500 employees.
Its focus is on serviced apartments.
Accor’s business is mainly focused on hotel-style accommodation and its brands include Sofitel, Novotel, Mercure and ibis.
“The combined Accor-Mantra will still compete with other international and national hotel chains, as well as many independent hotels and accommodation providers,” ACCC Chairman Rod Sims said.
“The combined Accor-Mantra will have a large number of properties in some areas, particularly in certain holiday destinations in Queensland.
“However, in each case and after a detailed review the ACCC has found that there are also sufficient other options nearby for visitors which will provide competition to Accor-Mantra,” Sims added.
The acquisition is likely to be finalised in the next three months.