Mergers & Acquisitions

💰 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.

💰 Marriott International to acquire citizenM for $355 million, adding 36 hotels (8,544 rooms) across 20+ cities including New York and London to its portfolio. Three new hotels (over 600 rooms) expected by mid-2026. Annual stabilized fees from the portfolio estimated at $30 million, with potential earn-out payments up to $110 million. Marriott anticipates full-year 2025 net rooms growth nearing 5% post-acquisition. citizenM, founded in the Netherlands in 2005, opened its first hotel in 2008. In 2019, GIC acquired a 25% stake for €2 billion. Marriott aims to leverage its global ecosystem and the Marriott Bonvoy platform to grow the brand.

🏦 Peachtree Group, in Atlanta, Georgia, received USCIS approval for four EB-5 regional centers in 2023 to expand its national EB-5 program footprint. They've secured I-956F approvals for three hotel developments: Home2 Suites in Boone (NC), TownePlace Suites in Palmdale (CA), and SpringHill Suites in Bryce Canyon City (UT). EB-5 visa program offers foreign investors green cards for a minimum $800,000 investment creating at least 10 full-time US jobs. Peachtree aims to sponsor and structure more EB-5 projects, tapping into low-cost capital and facilitating economic development and job creation.

🏠 Staypineapple Hotels Inc. announced the acquisition of University Inn by OneRE Apartment Fund LLC, affiliated with Onelin Capital Corporation, in Bellevue, Washington. The boutique hotel, built in 1962 with 102 guest rooms and an outdoor seasonal pool, was part of Pineapple Hospitality since 2008 and will continue to be managed by Staypineapple under a new agreement. Dina Belon and Wei Zhang expressed excitement for the partnership, focusing on personalized guest experiences and the property's legacy.