Huazhu Group, a NASDAQ-listed multi-brand hotel group, headquartered in Shanghai, has entered into agreement to acquire all shares of Deutsche Hospitality, through its wholly owned subsidiary China Lodging Holding Singapore for approximately €719.9 million.
Deutsche Hospitality is based in Frankfurt, Germany, and its portfolio includes the five prestigious hotel brands Steigenberger Hotels & Resorts, MAXX by Steigenberger, Jaz in the City, IntercityHotel and Zleep Hotels.
The acquisition is subject to regulatory approvals and certain other closing conditions, and is expected to close on or around early next year.
Huazhu Group, the worldwide hotel company, has more than 5,000 hotels in over 400 cities. Huazhu operates 18 brands across market segments covering economy to upscale and servicing the needs of business and leisure travelers. Huazhu is also the ninth largest hotel company in the world by room count and the fifth largest by market capitalization.
In 2019, Huazhu entered Japan and Singapore and established its international headquarters in Singapore.
Deutsche Hospitality, which operates 118 hotels with 36 hotels under development in 19 countries on three continents, has also charted an ambitious growth strategy. In 2019, the almost 90-year-old hotel group announced a worldwide expansion plan to reach 250 hotels by 2024.
The shareholding of the Joint Venture SME Ltd. (Steigenberger Middle East) shall remain unchanged and will continue to operate and expand the Deutsche Hospitality brands with its current partner.