Accor Launches €500 Million Hybrid Bond Issuance and Tender Offer to Optimize Debt Structure

(IN SHORT) Accor has announced its plan to issue new €500 million hybrid bonds, which are deeply subordinated and have a fixed-to-reset interest rate, with an option to call them in June 2030. Simultaneously, Accor is launching a tender offer to repurchase its existing €500 million hybrid bonds issued in October 2019. The tender offer will be available from August 28, 2024, to September 4, 2024. Accor aims to maintain its current level of hybrid debt and continue using hybrid capital as a key part of its financial strategy.

(PRESS RELEASE) Paris, France, 2024-Aug-28 — /Travel PR News/ — Accor SA has announced plans to refinance its existing debt with the issuance of new Euro-denominated hybrid bonds. The new bonds, totaling €500 million, will be deeply subordinated, carrying a fixed-to-reset interest rate, and are scheduled to mature in June 2030, though Accor retains the option to call them earlier.

In tandem with this new issuance, Accor is launching a tender offer to repurchase its existing €500 million hybrid bonds, originally issued in October 2019. The company is offering a repurchase price of 99.55% of the bonds’ principal value.

Accor’s strategy aims to maintain the current level of hybrid debt, reinforcing the company’s commitment to hybrid capital as a key component of its financial structure. The new bonds are expected to receive a BB/BB rating from leading agencies and will be listed on Euronext Paris.

The tender offer starts on August 28, 2024, and will close on September 4, 2024, with settlement slated for September 9, 2024. The results of the tender offer will be announced on September 5, 2024.

Accor is a world-leading hospitality group offering experiences across more than 110 countries in 5,700 properties, 10,000 food & beverage venues, wellness facilities and flexible workspaces. The Group has one of the industry’s most diverse hospitality ecosystems, encompassing more than 45 hotel brands from luxury to economy, as well as Lifestyle with Ennismore. Accor is focused on driving positive action through business ethics, responsible tourism, environmental sustainability, community engagement, diversity, and inclusivity.  Founded in 1967, Accor SA is headquartered in France and publicly listed on the Euronext Paris Stock Exchange (ISIN code: FR0000120404) and on the OTC Market (Ticker: ACCYY) in the United States. For more information, please visit group.accor.com or follow us on X, Facebook, LinkedIn, Instagram and TikTok.

Media Contacts:

Line Crieloue
VP Group External Communications
line.crieloue@accor.com

Alexis Blottiere
Senior Communication Manager
alexis.blottiere@accor.com

Pierre-Loup Etienne
SVP Investor Relations and Financial Communications
pierre-loup.etienne@accor.com

Nastassja Mirza
Investor Relations and Financial Communications Director
nastassja.mirza@accor.com

Source: Accor

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