Mergers & Acquisitions

🏡 Peachtree Group launched the 114-key Residence Inn Ocean Township in New Jersey, its eighth Delaware Statutory Trust (DST) offering since 2022. The hotel is located in Monmouth County, one of the wealthiest U.S. counties, near beach destinations Asbury Park, Long Branch, and Sandy Hook. Netflix's $900 million investment in Fort Monmouth is expected to create 3,500 construction and 1,500 permanent jobs, boosting local hospitality. Peachtree's eight DST properties total over $220 million in debt-free transactions, aimed at 1031 exchange investors seeking tax deferral and investment in the resilient hotel sector.

💸 TPG acquires Sabre's Hospitality Solutions for $1.1 billion, establishing it as a standalone business serving over 40% of top hotel brands. Sabre's net proceeds of $960 million will primarily repay debt. The transaction, reinforcing Sabre's capital allocation, was approved by Sabre's Board and announced on April 28, 2025, with closure expected by Q3 2025. Legal advisor Haynes Boone, led by Dan Malone and Joshua Reisman, supported the deal.

💰 TPG agreed to acquire Sabre Corporation's Hospitality Solutions business for $1.1 billion in cash. Sabre's net proceeds of approximately $960 million after taxes and fees aim to pay down debt and improve its capital structure. The standalone Hospitality Solutions serves over 40 percent of top hotel brands with a SaaS platform. The transaction is part of a strategic financial move, aligning with a net leverage target of 2.5x to 3.5x. Sabre's Board approved the deal, expected to close by the end of Q3 2025. Legal advice was provided by Haynes Boone, led by Dan Malone and Joshua Reisman.

🏨 Hilton Worldwide Holdings Inc. reported Q1 2025 results with a diluted EPS of $1.23, adjusted EPS of $1.72, and net income of $300 million. Adjusted EBITDA hit $795 million, with a 2.5% rise in system-wide comparable RevPAR. The company's development pipeline reached 503,400 rooms, marking a 7% increase from the previous year. Hilton added 20,100 rooms, bought back 3.7 million shares, and returned $927 million to shareholders in Q1. Projected full-year 2025 figures include flat to 2.0% RevPAR growth, net income of $1,707-$1,749 million, Adjusted EBITDA of $3,650-$3,710 million, and $3.3 billion in capital returns.

🏨 Schroders Capital, a firm with $99.3 billion in assets, has acquired W Edinburgh from Nuveen Real Estate, entering Edinburgh's luxury hotel market in November 2023. The hotel, Marriott International's first luxury property in the city, features 244 rooms and combines Edinburgh's traditional architecture with modern design. It's located in St James Square’s newly developed area. The W Edinburgh was awarded Scottish hotel of the year 2025. Schroders Capital manages GBP 3.1 billion in hotel investments across Europe and recently acquired the NH Collection Milan Lifestyle property.

🚩 U.S. tourism in 2025 faces a $10 billion loss with international travel projected to drop by 12%. Overseas visits decreased by 11.6% in March, with Western Europe down 17.2%. Canadian travel to the U.S. significantly declined, including a 32% reduction in car visits. Despite hopes for post-COVID recovery, political tensions and negative publicity, including detentions and deportations starting mid-March, are deterring travelers. Major U.S. cities like New York and Los Angeles report fewer ticket sales and bookings. The decline affects all states, with Florida, Texas, California, and New York most at risk. Domestic travel is also expected to fall due to the trade war's impact on disposable income.

💸 TPG to acquire Sabre's Hospitality Solutions for $1.1 billion in cash, with net proceeds of approximately $960 million for Sabre to pay down debt. This strategic move follows debt refinancings in December 2024 and April 2025 debt maturities repayment. The transaction, approved by Sabre's Board, is expected to close by end of Q3 2025, subject to regulatory approvals. Haynes Boone served as legal advisor, with the deal announced on April 28, 2025. Hospitality Solutions serves over 40% of leading hotel brands globally.

💰 Sabre Corporation is selling its Hospitality Solutions business to TPG for $1.1 billion in cash. TPG will invest through its TPG Capital private equity platform. The SaaS platform serves over 40% of the world's leading hotel brands. Sabre's net proceeds of approximately $960 million will primarily pay down debt. Following the December 2024 debt refinancing and April 2025 debt repayment, Sabre aims to optimize its portfolio and target a net leverage of 2.5x to 3.5x. The deal, expected to close by end of Q3 2025, is approved by Sabre's Board and does not require financing conditions.

🏨 Marriott International, headquartered in Bethesda, Maryland, is set to acquire citizenM—a lifestyle brand with 36 hotels and 8,544 rooms globally, in cities such as New York, London, Paris, and Rome. The $355 million transaction will bolster Marriott's select-service and lifestyle offerings, incorporating a pipeline of 3 hotels (600+ rooms) slated to open by mid-2026. Post-acquisition, the brand will join Marriott's system with new long-term franchise agreements. Anticipated stabilized fees are approximately $30 million annually, with potential earn-out payments up to $110 million based on brand growth over the years. The deal awaits U.S. regulatory approval.