Accor Sells Its 19.4% Stake in TAHL to Abu Dhabi

French hotel group Accor SA (AC.FR) Monday said it agreed to sell its 19.4% stake in Australian hotel owner Tourism Asset Holdings Ltd., or TAHL, to Abu Dhabi's sovereign fund as part of its strategy to sell real-estate assets to become a hotel brand operator.

Abu Dhabi Investment Authority will pay 66 million Australian dollars (US$62.6 million) and assume debts worth A$76 million, the French company said.

TAHL owns 31 hotels in Australia, all operated by Accor under its different brands — Ibis, Mercure, Novotel and Pullman. The contracts with Accor will be maintained after the cession.

The French company in recent years has been shifting its business model to become a brand operator rather than a hotel owner, selling off real-estate assets to operate hotels as franchises or under management contracts and then using the proceeds to expand in emerging markets.