Hyatt to Acquire Standard International and its Iconic Hotel Brands

Strategic Insights -

Hyatt Hotels Corporation, a global hospitality leader, has announced plans to acquire Standard International, the parent company of The Standard and Bunkhouse Hotels. This strategic move aims to enhance Hyatt's position in the industry's premier lifestyle space, expanding its global portfolio of lifestyle hotels. The transaction, expected to close later this year, will create a new dedicated lifestyle group, led by Standard International's Executive Chairman Amar Lalvani, who will oversee the integration of the acquired brands and properties.

The acquisition includes management, franchise, and license contracts for 21 open hotels with approximately 2,000 rooms, featuring iconic properties such as The Standard, London, and Hotel Saint Cecilia in Austin, Texas. The transaction also includes up to 30 projects with signed agreements or letters of intent, including new properties expected to open over the next 12 months. Upon closing, Hyatt will pay a base purchase price of $150 million, with up to an additional $185 million over time as additional properties enter the portfolio.

The acquisition cements Hyatt's evolution into a brand- and experience-driven company, further solidifying its leadership in the industry's premier lifestyle space. The acquired portfolio will be 100% asset-light, ensuring seamless integration with Hyatt's existing operations. The partnership is seen as a strategic move, leveraging Hyatt's global infrastructure and loyal guest base, while allowing Standard International's talented team to maintain leadership in key functions.

Key Takeaways:

  • Hyatt to acquire Standard International, parent company of The Standard and Bunkhouse Hotels brands.
  • Transaction expected to close later this year, subject to customary closing conditions.
  • Acquisition includes 21 open hotels with approximately 2,000 rooms and up to 30 projects with signed agreements.
  • Base purchase price of $150 million, with up to an additional $185 million over time for additional projects.
  • Partnership creates a new dedicated lifestyle group led by Amar Lalvani, Executive Chairman of Standard International.
  • Acquisition strengthens Hyatt's position in the industry's premier lifestyle space, expanding its global portfolio.

Statistics:

  • 21 open hotels with approximately 2,000 rooms.
  • Up to 30 projects with signed agreements or letters of intent.
  • Base purchase price of $150 million.
  • Up to an additional $185 million over time for additional projects.
  • Partnership expected to close later this year, subject to customary closing conditions.
  • Standard International's brand portfolio includes Peri Hotels, The StandardX, and The Manner.

Sources:

  • ENPublishing - Hyatt to Acquire Standard International and its Iconic Hotel Brands
  • Standard International - About Us
  • Hyatt Hotels Corporation - About Us