The Paris-based company is also the second largest budget hotel chain in Europe. The chain comprises a total of 805 budget hotels, 211 of which are company-owned. Among the company's hotels brands are Premiere Classe, Kyriad and Campanile. The firm also owns nearly 52% of the Baccarat crystal brand and a 100% stake in perfume maker Annick Goutal.
Starwood Capital will also own a more than 65% stake of Groupe Taittinger, the holding company for Taittinger CVCC, the world's sixth largest champagne producer. Starwood intends to find a buyer for Taittinger in the future. Starwood Capital chairman and chief executive officer Barry Sternlicht says the firm will "work to ensure that the company's prized champagne business finds an appropriate home."
Sternlicht adds that Starwood Capital is looking to grow its economy hotel business in France and expand into new markets, particularly Eastern Europe. The renovation and restoration of several of properties is part of that effort.
The enterprise or total value of the Groupe Taittinger and Societe Du Louvre companies was estimated at approximately 2.9 billion euros. A Starwood Capital spokesman says the company expects the purchase to be approved by the European Union competition authorities by September.
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