The agreement will make IHG one of the leading players in midscale and upper midscale in the market, according to the announcement, and includes the following elements:
- Up to 108 NOVUM Hospitality open hotels and 11 hotels under development are expected to join IHG’s system between 2024 and 2028. Conversion of the hotels to IHG’s system will happen in phases beginning in 2024, with the majority to take place over the next 24 months. This will increase IHG’s global system size by up to 1.9% over the coming years.
- A total of 52 open and pipeline hotels will join IHG through a collaboration between Holiday Inn and The Niu. This will combine the domestic presence of The Niu with Holiday Inn’s global brand recognition, said the announcement, “to build a leading position in a key target market.” NOVUM’s other brands, Yggotel, Select and Novum with 56 open and pipeline hotels will convert to IHG’s new midscale conversion brand, Garner; and the Acora Living the City brand with 11 open and pipeline hotels will convert to IHG’s midscale extended stay brand, Candlewood Suites.
David Etmenan, CEO of Novum, said that accessing IHG’s global distribution network “provides us with enhanced sales and revenue capabilities, ensuring sustained commercial success while retaining full flexibility and independence for NOVUM Hospitality, as the company remains in our ownership entirely.”