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OYO has agreed to acquire G6 Hospitality, parent company of Motel 6 and Studio 6 brands, from Blackstone Real Estate for $525 million.
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The acquisition adds 320 hotels across 35 US states to OYO’s portfolio, strengthening its international presence.
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The deal is expected to close in Q4 2024, subject to customary closing conditions.
OYO, a global travel technology company, has announced its acquisition of G6 Hospitality, the parent company of iconic hotel brands Motel 6 and Studio 6, for $525 million. The all-cash deal marks a significant milestone for OYO’s international expansion.
G6 Hospitality operates 320 hotels across 35 US states, generating $1.7 billion in gross room revenues. OYO plans to leverage its technology suite, global distribution network, and marketing expertise to enhance the Motel 6 and Studio 6 brands.
The acquisition is a strategic move for OYO, which added nearly 100 hotels to its US portfolio in 2023 and aims to add 250 more in 2024. Gautam Swaroop, CEO of OYO International, emphasized the deal’s significance in strengthening OYO’s international presence.
The transaction is expected to close in Q4 2024, subject to customary closing conditions. Blackstone Real Estate, the seller, invested significantly in G6 Hospitality during its ownership, transforming the business into a leading asset-light lodging company. Goldman Sachs & Co. LLC acted as Blackstone’s lead advisor, while Simpson Thacher & Bartlett LLP served as its legal advisor.
