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December 18, 2015

MERGERS and ACQUISITIONS



- Atlanta Leads All U.S. Markets in Transaction Volume
- Expedia Completes Acquisition of HomeAway
- AccorHotels to Acquire Three Iconic Hotel Brands
- AccorHotels plans to increase rooms by 30%
- Hilton Worldwide Continues Expansion in Turkey with the Opening of Five New Hotels
- Homeinns Enters into Definitive Merger Agreement with BTG Hotels Group
- Pandox AB Acquiring 18-hotel Portfolio in Germany from Fattal Hotels for €400 Million ($432.4M)
- Frasers Hospitality Expands U.K. Footprint with Further Acquisition Through its Malmaison and Hotel du Vin Group
- Strategic Hotels & Resorts to Be Acquired by Blackstone
- With Newly Created $525M Investment Fund, Provenance Hotel Partners Acquires Seven of Nine Hotels it Manages
- Extended Stay America Completes Sale of Crossland Economy Studios for $285 Million
- Carlson Rezidor and Mushtaq Group Sign Portfolio Agreement to Open Seven Hotels in Jammu and Kashmir
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Atlanta Leads All U.S. Markets in Transaction Volume
Lodging Econometrics (LE) reported that Atlanta has had the most hotel sales of any U.S. market over the last three years. Atlanta logged 42 sales in 2013 with a reported selling price, 30 sales in 2014 and 25 sales through the third quarter of 2015. These 25 sales had an average selling price per room (ASPR) of $74,446 and because Atlanta has a larger preponderance of mid-market hotels in its census mix, compared to many northern tier markets, it normally has a lower average selling price per room than the national average, said LE.
http://www.lodgingeconometrics.com  
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Expedia Completes Acquisition of HomeAway
Expedia, Inc. (NASDAQ: EXPE) announced it has completed its acquisition of HomeAway, Inc., including all of its brands. 
http://www.expediainc.com  
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AccorHotels to Acquire Three Iconic Hotel Brands
AccorHotels has announced the signing of an agreement with the Qatar Investment Authority (QIA), Kingdom Holding Company (KHC) of Saudi Arabia and Oxford Properties, an Ontario Municipal Employees Retirement System (OMERS) company for the acquisition of FRHI Holdings Ltd (FRHI), parent of Fairmont, Raffles and Swissôtel. The integration of Raffles, Fairmont and Swissôtel will broaden the Group’s geographic footprint in the luxury segment, and enable it to optimize its luxury and upscale brands in order to adapt its offering to the expectations of an increasingly demanding clientele.
http://www.accorhotels.com  
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AccorHotels plans to increase rooms by 30%
AccorHotels, one of the world’s leading hotel operators and market leaders in Europe, has cemented its position as the United Kingdom’s leading growth hotel group by opening its 30,000th room in the U.K. and remains on track to meet its ambitious target to increase its number of rooms by more than 30 percent by 2017. AccorHotels has seen significant growth from its leading midscale brands; Novotel and Mercure, well-known international brands for both business and leisure travellers with close to 14,000 rooms in the UK, whilst also increasing its footprint in the upscale and budget segments.
http://www.accorhotels.com, http://www.accorhotels-group.com
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Hilton Worldwide Continues Expansion in Turkey with the Opening of Five New Hotels
Hilton Worldwide announced the opening of five focused-service hotels in Turkey under the Hampton by Hilton and Hilton Garden Inn brands. The five properties include Hilton Garden Inn Erzincan (opened September 2015), Hilton Garden Inn Trabzon (opened September 2015), Hilton Garden Inn Istanbul Beylikduzu (opened September 2015), Hampton by Hilton Kocaeli (opened October 2015), and Hilton Garden Inn Izmir Bayrakli (opened November 2015). In Hilton Worldwide's 60th year in Turkey, the five new hotels join 38 currently operating hotels across its portfolio of full-service and focused-service brands, five of which opened in the last 12 months.
http://www.hiltonworldwide.com  
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Homeinns Enters into Definitive Merger Agreement with BTG Hotels Group
Homeinns Hotel Group (NASDAQ: HMIN), a leading economy hotel chain in China, announced that it has entered into a definitive agreement and plan of merger with BTG Hotels Group (HONGKONG) Holdings Co., Limited (Holdco).
http://www.homeinns.com  
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Pandox AB Acquiring 18-hotel Portfolio in Germany from Fattal Hotels for €400 Million ($432.4M)
Fattal Hotels, owned by David Fattal, together with its British partner, Leopard Group, has signed a deal for the sale of 18 hotels in Germany, with a total of 3,415 rooms, to Swedish hotel chain Pandox AB for €400 million (NIS 1.7 billion). The properties are 18 of the 20 Holiday Inn hotels that Fattal bought together with partners in 2013 for NIS 1.2 billion. The deal gives Fattal Hotels a 322 percent return on equity. Fattal Hotels will manage the hotels under the Leonardo brand.
http://www.fattal-hotels.com
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Frasers Hospitality Expands U.K. Footprint with Further Acquisition Through its Malmaison and Hotel du Vin Group
Frasers Hospitality, the hospitality arm of Frasers Centrepoint Limited, announced the acquisition of a portfolio of four properties in the United Kingdom for a consideration of GBP36.1M (approximately SGD76.3M) from Swire Properties Hotels Holdings through the Group’s subsidiary, Malmaison and Hotel du Vin Property Holdings Limited. This acquisition comes on the back of Frasers Hospitality’s recent purchase of the Malmaison and Hotel du Vin Group which comprises 29 upscale lifestyle boutique hotels for GBP363.4 million (S$760 million) in June of this year, providing Frasers Hospitality a platform to further expand into one of the fastest growing hospitality segments. The four properties include: Avon Gorge Hotel, Bristol; Magdalen Chapter, Exeter; Montpellier Chapter, Cheltenham; and Hotel Seattle, Brighton. The inclusion of the four properties brings Frasers Hospitality’s global portfolio to 136 properties across 78 cities and more than 22,000 keys worldwide.
http://www.frasershospitality.com  
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Strategic Hotels & Resorts to Be Acquired by Blackstone
Strategic Hotels & Resorts, Inc. (NYSE: BEE) announced that the holders of its shares of common stock approved the acquisition of the company by affiliates of Blackstone Real Estate Partner VIII L.P. (Blackstone) at its special meeting of stockholders held recently.
http://www.strategichotels.com  
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With Newly Created $525M Investment Fund, Provenance Hotel Partners Acquires Seven of Nine Hotels it Manages
Portland-based Provenance Hotel Partners has purchased seven of the nine hotels that it manages, including four in Portland – the Westin, Hotel deLuxe, Hotel Lucia and Sentinel, the company announced. The move was the first acquisition for a newly created $525 million real estate investment fund to be managed by Provenance. The fund also purchased the Hotel Max in Seattle, the Hotel Murano in Tacoma and the Hotel Preston in Nashville.
http://www.provenancehotels.com
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Extended Stay America Completes Sale of Crossland Economy Studios for $285 Million
Extended Stay America, Inc. (NYSE:STAY) announced that subsidiaries of the company, including subsidiaries of ESH Hospitality, Inc. (ESH REIT), the company’s REIT subsidiary, completed the sale of 53 U.S. economy extended-stay hotels and Crossland Economy Studios intellectual property for $285.0 million in cash. The disposition of the 47 Crossland Economy Studios-branded hotels and six similarly positioned Extended Stay America-branded hotels completes the company’s transition to a single brand.
http://www.extendedstay.com  
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Carlson Rezidor and Mushtaq Group Sign Portfolio Agreement to Open Seven Hotels in Jammu and Kashmir
Carlson Rezidor Hotel Group, one of the world's largest hotel groups, announced the signing of a portfolio agreement with Mushtaq Group of Hotels to open seven hotels comprising 817-rooms under the Radisson Blu®, Radisson® and Country Inns & Suites By CarlsonSM brands, in the northern Indian state of Jammu and Kashmir. The seven hotels will be located in the main gateway markets throughout the state and will position Carlson Rezidor Hotel Group as one of the largest international hotel operators in Jammu and Kashmir. The first hotel is expected to open in the fourth quarter of 2016 in Srinagar.
http://www.carlsonrezidor.com, http://www.grandmumtaz.com  
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