Mergers & Acquisitions

🍕 Invus, a private equity company, invested in SeoulSpice nearly one year ago. SeoulSpice opened its first restaurant outside the DMV area in Chicago. The eight-unit Korean comfort food brand, guided by Invus, which propelled Cava's growth, plans national expansion with a focus on D.C. and Chicago. SeoulSpice founder and CEO Eric Shin, a Julliard-trained symphony percussionist, pivoted to food service to make Korean cuisine more accessible. The first SeoulSpice opened in 2016 in Washington, D.C.'s Noma neighborhood. During its grand opening, the restaurant ran out of food by 2 p.m. The brand offers a modern take on Korean food, includes American flavors like Ranch dressing, and makes its own Sriracha sauce.

🏨 European hotel deal volumes hit $24.3 billion in 2024, up 37% from the previous year, with the U.K. leading at $8.5 billion in transactions. The second half of 2024 saw $11.3 billion in deals, and the U.K., Spain, and France comprised 59% of the total at $14.3 billion. The U.K. saw a 197% increase in transaction volume from 2023, with significant growth also seen in Greece (+294%), Norway (+248%), and Ireland (+218%). London was the top city with $4.4 billion in deals. Private capital made up 45% of transactions, a 45% increase from the previous year, while institutional investments represented 39%, and public finance grew 352% to 13%. Luxury and upper-upscale properties accounted for 42% of the total volume.

🏨 Hyatt Hotels Corporation targets a 30% growth in the UK by 2026, starting with Hyatt Place Leeds (217 rooms) and Hyatt House Leeds (88 rooms) as of March 2025. More than 1,000 rooms will be added, including Hyatt Place London Paddington (87 rooms) and Hyatt Regency London Olympia (over 200 rooms), creating approximately 250 jobs. The strategy follows the 2023 acquisition of Mr & Mrs Smith, boosting World of Hyatt membership to 54 million by 2024, with a 5% MICE inquiries increase in Q4 2024. Future expansions focus on Oxford, Cambridge, Liverpool, Glasgow, Cardiff, and Belfast.

🏥 IHG Hotels & Resorts is set to open Bristol Berlin, Vignette Collection in 2025 in Berlin, Germany, expanding its luxury and lifestyle segment. The hotel, located on Kurfürstendamm since 1952, will feature 303 guest rooms, an all-day dining brasserie, a bar, and a spa with a swimming pool. It will offer 1,500 square meters of event space. The Vignette Collection was launched by IHG in 2021. Bristol Berlin is the second Vignette property in Germany, following a recent signing in Reit im Winkl. IHG currently manages 147 hotels in Germany, with 75 in development.

🏨 Pandox AB to acquire Pullman Cologne Hotel for €66 million, with closing set for Q2 2025. This 275-room property in Cologne, Germany, is expected to offer growth through renovations and repositioning. The anticipated initial yield is around 6.5%. The seller is Art-Invest Real Estate on behalf of an institutional hotel fund. The hotel will operate under AccorInvest post-acquisition. Pandox already owns three hotels in Cologne and recently acquired Radisson Blu Tromsø Hotel in Norway and three Residence Inn by Marriott in London.

🏦 Blackstone announced the final close of their BREDS V real estate debt fund on Friday, securing $8 billion in capital commitments. This matches the record for such investment vehicles and signals a property-market rebound, particularly in the hotel sector. The fund targets vulnerable hotel assets, betting on a commercial real estate upswing. Blackstone Real Estate Debt Strategies is capitalizing on current market conditions by buying underperforming loans and filling financing gaps where banks are reluctant to refinance. Despite pandemic impacts and rising interest rates since 2022 affecting property values, large capital availability continues to drive investments.

🏨 Dalata Hotel Group, founded in 2007, operates 56 hotels in the UK and Ireland, with expansion into Europe. The company, traded on Euronext Dublin and the London Stock Exchange, with 30 owned properties valued at €1.7 billion, reported €652 million in revenue for 2024 and €234.5 million in adjusted EBITDA. Despite this, its share price of around €5.50 values the group at €1.2 billion, which the board believes is undervalued. Options such as a sale, merger, or private equity investment are being considered, advised by Rothschild & Co. Dalata seeks to reach 21,000 rooms by 2030, an 80% expansion, with 1,600 rooms already in development. In 2024, four new Maldron hotels opened, and Dublin's RevPAR for 2025 is expected to be 2.5% higher than Q1 2024.

🏖 Westgate Resorts to acquire Vacation Ownership Sales, the exclusive partner of VI Resorts, expanding from 22 to over 60 resort destinations, including in Mexico and Canada. The acquisition will include management of a Vacation Club with more than 40 resorts and a $4 million investment in enhancing owner experience. Mike Vasey to join Westgate executive team. VI Resorts celebrates 50 years, with an owner-led board confident in growth and independence through the partnership. Collaboration follows Westgate's partnership with Choice Hotels, offering exchange opportunities for owners within Interval International.