Motel 6
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Funds motel chain Motel 6 acquired by its mother or father firm oyoa hotelier primarily based in India.
The New York-based funding agency black stoneMotel, which owns Motel 6 mother or father firm G6 Hospitality, introduced Friday that the deal might be an all-cash deal valued at $525 million.
The deal may also embody the sale of the Studio 6 motel model, which caters to clients looking for longer-term lodging. The transaction is predicted to shut by the top of this yr.
Oyo was launched in India over a decade in the past; expand its footprint in the US over the previous few years. The corporate stated it at the moment operates 320 eating places in 35 states and plans so as to add 250 extra this yr.
“For a start-up like us, this acquisition is a crucial milestone in strengthening our worldwide presence,” Gautam Swaroop, head of OYO’s worldwide division, stated in an announcement.
Blackstone acquired Motel 6 and Studio 6 in 2012 for $1.9 billion. Since then, the non-public fairness large stated it has invested closely within the model and pursued a technique of changing chains into franchises.
Rob Harper, head of actual property asset administration at Blackstone, stated: “This transaction is a incredible consequence for buyers and the end result of an formidable marketing strategy that has greater than tripled our buyers’ capital. and generated over $1 billion in income throughout our possession interval.
Below the settlement, Oyo proprietor Oravel Stays will purchase G6 Hospitality.
