Reuters – Accor CEO Could Leave Under Shareholder Pressure

French hotel chain Accor‘s chief executive may be ousted by the company’s board following shareholder impatience with its weak share performance in recent months, writes Reuters. Denis Hennequin, the former CEO of McDonald’s Europe who took the top job at Accor after his predecessor quit in 2010, has been accused of taking too long to overhaul the company, writes Reuters.

Reuters – French hotel chain Accor’s chief executive may be ousted by the company’s board later on Tuesday following shareholder impatience with its weak share performance in recent months, newspapers reported on Tuesday.

Denis Hennequin, the former CEO of McDonald’s Europe who took the top job at Accor after his predecessor quit in 2010, has been accused of taking too long to overhaul the company, the papers said.

Accor’s two top shareholders, private equity firm Eurazeo and U.S. investor Colony Capital, want the chain to accelerate the sale of hotels it owns in favour of management contracts or franchises, Le Figaro newspaper reported.

Le Figaro said a board meeting will be held later on Tuesday to consider Hennequin’s future. Financial daily Les Echos carried a similar report.

Accor officials could not immediately be reached for comment. Eurazeo and Colony both declined to comment.

Accor shares are down 2.75 percent so far this year and the company’s market capitalisation at 5.9 billion euros ($7.69 billion) is little more than that of its former unit, meal vouchers company Edenred, valued at 5.6 billion euros.

Europe’s largest hotel chain said in February it planned to cut costs, expand in emerging markets and accelerate its move toward franchising or managing hotels for others to boost profit margins. ($1 = 0.7674 euros) (Reporting By Christian Plumb, Alexandre Boksenbaum-Granier and Dominique Vidalon; Editing by David Cowell)