DBT Bureau
Bengaluru, 22 September 2024
Travel tech company, OYO will acquire iconic American budget hotel chain Motel 6 and Studio 6 brands from Blackstone Real Estate for $525 million in an all-cash transaction, the company has said.
Through this acquisition, OYO is planning to boost its presence in the US market.
The transaction is expected to close in the fourth quarter of 2024, subject to customary closing conditions, the company has said.
“This acquisition is a significant milestone for a startup company like us to strengthen our international presence. Motel 6’s strong brand recognition, financial profile and network in the US, combined with OYO’s entrepreneurial spirit will be instrumental in charting a sustainable path forward for the company which will continue to operate as a separate entity,” said Gautam Swaroop, CEO OYO International.
Commenting on the deal, Julie Arrowsmith, Chief Executive Officer at G6 Hospitality said, “OYO’s innovative approach to hospitality will allow us to enhance our offerings and great value to our guests while maintaining the iconic Motel 6 brand that travellers have trusted for over six decades.”
In 2023, OYO added around 100 hotels to its US portfolio and aims to add about 250 hotels in 2024.
