PARIS—AccorHotels is acquiring a 30% stake in the capital of 25hours Hotels, with the objective of accelerating the global expansion of the 25hours brand.
25hours Hotels is also expanding its internal development structures and establishing a creative laboratory for this purpose, according to the brand. AccorHotels will be a strategic partner supporting its long-term growth.
“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,” said Sébastien Bazin, chairman & CEO of AccorHotels. “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.”
“Loyal partners have supported our growth in the German-speaking market for the past 10 years and we now also have the opportunity to conquer the world with a global partner,” said Christoph Hoffmann, CEO of 25hours. “This strategic partnership represents a key milestone in our company’s history and a new adventure we are looking forward to.”
25hours Hotels currently operates seven individual hotels in Germany—Hamburg, Frankfurt, Berlin—as well as Vienna and Zurich. A further five hotels will open in Munich, Cologne and Düsseldorf, Germany; and Zurich and Paris in the next two years. The company has been looking to expand into other European countries for some time, and is now also targeting long haul destinations.
“Designing appealing hotels with exciting concepts is not enough. A country network with local experience and expertise is also needed. Thanks to AccorHotels’ long-standing know-how and worldwide support infrastructure, this is precisely what we now have on every continent,” added Hoffmann.
The organizational structure of the 25hours Hamburg head office is currently being expanded to prepare for the opening of hotels in Melbourne, Australia; Miami or Milan. The main focus of this process is to pool different areas of expertise by establishing a creative laboratory, according to the brand.
“We are talking about the Extra Hour Lab. Everything that sets the 25hours brand apart and makes it viable for the future will evolve here,” explained Kai Hollmann, chairman, 25hours Hotels. “This includes design and storytelling as well as extraordinary experience concepts and atmospheric and sensual features.”
25hours Hotels will continue to be run by its CEO Christoph Hoffmann and his management team. Their common goal is to lead the 25hours corporate culture into the future, according to the brand.
This transaction is subject to the regulatory approvals of the German and Austrian antitrust authorities.