French hotel group Accor has sold 20 Formula 1 hotels in South Africa to Southern Sun Hotels for €28m (£24m).
The sale and franchise back deal sees Accor sell its 52.6% stake in the business.
Hotel Formula 1 was formed in 1991, as a joint venture between Accor and Southern Sun. The company owns budget 20 hotels totalling 1,474 bedrooms, in addition to managing three hotels already owned by Southern Sun across South Africa. All 23 hotels will now operate as franchised properties, under the Formula 1 brand.
Accord said that the sale was part of its asset management strategy, which aims to reduce its debt by € 2.2bn by 2015.
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