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InterContinental, HK CTS Hotels Team to Expand China Franchises
Le Yan
DATE:  Nov 28 2017
/ SOURCE:  Yicai
InterContinental, HK CTS Hotels Team to Expand China Franchises InterContinental, HK CTS Hotels Team to Expand China Franchises

(Yicai Global) Nov. 28 -- After years of researching its markets and business models, hotel heavyweight InterContinental Hotels Group PLC [NYSE:IHG] (IHG) will extend the franchise offerings of its three major hotel brands in China and has signed a partnership agreement to that end with China Travel Service Hong Kong Ltd. (HK CTS Hotels Co., Ltd.), it announced yesterday.

The two companies will work together in franchising the upscale brand Crowne Plaza Hotels & Resorts and the midscale brands Holiday Inn and Holiday Inn Resort.

A HK CTS hotel in Beijing will rebrand as a Holiday Inn late next year as the first hotel under this collaboration.

InterContinental Hotels Group has more than 30 years of history in China. Based on the maturity of the industry and sophistication of Chinese owners, the group believes that now is the right time to expand the franchise model to more hotel brands, said Jolyon Bulley, chief executive of IHG Greater China.

InterContinental Hotels Group inaugurated its Holiday Inn Express franchise model in China in May last year, with 68 signings since its inception, six hotels already open, and rapid growth foreseen in the next 12 months.

InterContinental Hotels group is one of the world's largest franchise companies and operates over 80 percent of its 5,300 hotels worldwide in that format. The group also announced a partnership with Chinese Internet giant Baidu Inc. [NASDAQ:BIDU] to apply new artificial intelligence technologies to over 100 smart suites under InterContinental Hotels Group, including room settings, smart search and entertainment services.

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Keywords:   Intercontinental Hotels Group,HK CTS Hotels,Franchise Right,Baidu