The spending plan motel chain Motel 6 is being obtained by the moms and dad business of Oyo, a resort driver based in India.
The New York- based investment company Blackstone, which has Motel 6’s moms and dad business G6 Hospitality, introduced Friday that the bargain would certainly be an all-cash deal worth $525 million.
The deal will certainly likewise consist of the sale of the Studio 6 motel brand name, which satisfies consumers looking for expanded keeps. The bargain is anticipated to nearby completion of the year.
Oyo, which introduced in India simply over a years earlier, has actually been increasing its impact in the united state over the previous couple of years. The business claims it presently runs 320 resorts throughout 35 states and is intending to include 250 a lot more this year.
“This acquisition is a significant milestone for a startup company like us to strengthen our international presence,” Gautam Swaroop, OYO’s worldwide department principal, stated in a declaration.
Blackstone had actually acquired Motel 6 and Studio 6 in 2012 for $1.9 billion. Since after that, the exclusive equity titan claims it has actually greatly bought the brand name and went after a method that transformed the chain right into a franchise business.
“This transaction is a terrific outcome for investors and is the culmination of an ambitious business plan that more than tripled our investors’ capital and generated over $1 billion in profit over our hold period,” Rob Harper, the head of Blackstone Real Estate Asset Management Americas, stated in a declaration.
Under the bargain, Oravel Stays, which has Oyo, will certainly get G6 Hospitality.
