This first transaction by Kasada Hospitality Fund demonstrates its support for the sector and its confidence in the prospects for recovery. Kasada becomes one of the largest hotel owner groups in West Africa with eight hotels in 3 countries: Ivory Coast, Senegal, and Cameroon.
Kasada Hospitality fund has been advised by Kasada Capital Management in order to acquire a portfolio of Sub-Saharan African Hotels from AccorInvest. This first transaction is one of the largest cross-border hospitality M&A transactions in Africa. Kasada has now taken control of eight hotels across 3 countries, Ivory Coast, Senegal and Cameroon, comprising 1,602 hotel rooms focused on servicing intra-regional business travel in Africa.
Kasada aims at implementing new standards in terms of local management and ecological footprint, while ensuring that the level of customer satisfaction improves. This commitment is at the heart of the company's strategy, which aims to become a supplier of solutions to the sector and will enable sustainable growth in the hotel industry in sub-Saharan Africa.
The transaction occurred during a very challenging periods for the African hospitality sector. It"s a reflection of Kasada’s continued commitment to the region and belief in the prospects for its post COVID-19 recovery. Senegal, Ivory Coast, and Cameroon’s economies have been growing at a steady pace, a trend that is expected to continue in the medium term. Tourism is one of the most dynamic sectors in the region, representing 10%, 8% and 7 % of those three countries’ GDP respectively, significantly contributing to economic development. While the travel disruptions caused by COVID-19 have impacted international travel, the portfolio will focus on serving intra-regional business travel, which has begun to grow over recent months.
AccorInvest owns and operates a property portfolio of more than 880 hotels, owned and leased, located across 28 countries in Europe, Latin America and Asia. The sale of the portfolio of hotels in Sub-Saharan Africa to Kasada marks the refocusing of its investment strategy on Europe, positioning Kasada as the market leader in Sub-Saharan Africa.
According to Olivier Granet, Managing Partner and CEO, Kasada :
"This is an outstanding portfolio of hotels covering all market segments and fully aligned with Kasada’s strategy. We look forward to working with the fantastic teams running the portfolio and to help drive the growth of the hospitality sector in this promising region. As long-term investors we are committed to implementing new ESG and guest satisfaction standards across our portfolio to ensure the sector sustainably grows to match the expectations of our guests. We believe we can have a positive impact by providing much-needed capital at a critical time."
The 8 hotels of the portfolio are: Pullman, Novotel, ibis Plateau and ibis Marcory hotels in Abidjan, Ivory Coast; the Pullman, Novotel and ibis hotels in Dakar, Senegal and the Ibis hotel in Douala, Cameroon.
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