valuation of HOSPITALITY INDUSTRY CHAINS

ACCOR GROUP

Balance sheet of ACCOR Group (million €) at book value   End /2007 Net Asset 3 940 Equity 3 752 Long Term Debts 188 Total Liabilities & Owner's Equity 3 940 Source : http://www.accor.com

 

Financial Data of ACCOR GROUP   End 2007 PER 14 Net profit of the group (PAT) 883 million € Net Debt of the group 188 million € Average Number of shares 229'917'794 EPS 3,92 € Price of share end 2007 (last) 54,70€ Dividend 2007 3,15€ Source : http://www.accor.com market value of ACCOR GROUP Method based on PER (billion € ) Equity : PER .PAT = 14 x 883 million € 12,4 Debts 0,2 Market Value of the company 12,6 Method based on market capitalization (billion € ) Equity : p. N = € 54.70 x 229'917'794 shares 12,5 Debts 0,2 Market Value of the company 12,7

 

STARWOOD HOTEL & RESORTS WORLDWIDE

Balance sheet of Starwood Hotels & Resorts Worldwide (billion$) Book value End 2007 Total of net Asset 7,5 Equity 2,1 Long Term Debts 5,4 Total Liabilities & Owner's Equity 7,5 Source : http://finance.yahoo.com/q?s=HOT Last update: September 16th, 2008

 

Financial Data of STARWOOD GROUP End 2007 Debts of the group 5,4 billion $ Number of shares 186,7million Price of share 44,03 $ Market value of the Company Method based on market capitalization (billion $)   End 2007 Equity : $ 44,3 x 186,7 million shares 8,6 Long-Term Debts 5,4 Market Value of the Company 14,0 Source :http://finance.yahoo.com/q?s=HOT Last update: September 16th, 2008

 

 

 

Synthesis of the three groups

	ACCOR	STARWOOD
Net Asset (book value)	5.8	7.6
Market Value Added (MVA)	6.8	6.4
Market value of the company	12.6	14.0
Long Term Debt	0.2	5.4
Equity	12.4	8.6
Total of financing	12.6	14.0

 

 

 

Corporate Finance Course, Bernard Jaquier, Professor of Economics & Finance, Ecole Hôtelière de Lausanne, 2008