Radisson Hotel Group (Americas) and Choice Hotels issued statements today announcing that Choice Hotels has entered into a definitive agreement to acquire the franchise business, operations and intellectual property of Radisson Hotel Group Americas for approximately $675 million (see, Press Release).
The addition of Radisson’s nine hotel brands in the Americas, will expand Choice Hotels’ presence in the mid and upscale hospitality segments in the United States by 624 hotels with over 68,000 rooms.
According to the Press Release:
Choice Hotels will acquire the franchise business, operations and intellectual property of Radisson Hotels in the United States, Canada, Latin America and the Caribbean, for approximately $675 million, inclusive of the real estate value of three owned assets. The acquisition will be funded with cash on hand and revolver borrowings. Radisson Hotel Group Americas comprises the franchise agreements, operations and intellectual property of Radisson Hotels in the United States, Canada, Latin America and the Caribbean, and includes 10 Radisson Blu hotels, 130 Radisson hotels, 9 Radisson Individuals, 1 Park Plaza hotel, 4 Radisson RED hotels, 453 Country Inn & Suites by Radisson and 17 Park Inn by Radisson hotels, as well as the Radisson Inn & Suites and Radisson Collection brands. Choice Hotels will independently own and control the brands in the Americas and will work with the Radisson Hotel Group to drive the growth, continuity and success of the brands.
Wow, I’m rather surprised by this announcement.
I’ve stayed at many Radisson hotels, but few of them are within the United States. Specifically, in no particular order, I’ve stayed at Radissons in South Africa, Belgium, Australia, Iceland, Hungary and Spain. These hotels are not part of the Americas group and I wonder whether it will still be possible, after the acquisition, to transfer points from the Radisson Americas Group to the Radisson Group.
To be continued…