Sonesta International Resorts Corp. is attaining hospitality team RLH Corp., with the $90 million all-hard cash offer set to catapult Sonesta’s complete U.S. footprint to somewhere around 1,200 motels nationwide.
RLH Corp., which franchises the Lodge RL, Red Lion Lodges, Pink Lion Inn & Suites, Signature Inn, GuestHouse Prolonged Keep, Americas Best Price Inn, Canadas Best Price Inn and Knights Inn brand names, will add additional than 900 properties to the Sonesta fold.
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The deal is envisioned to close in the initial fifty percent of 2021. Upon completion of the transaction, RLH will grow to be a privately held business and will no longer be outlined on the New York Inventory Exchange.
The acquisition arrives amid a period of time of considerable expansion for Sonesta, which before this calendar year additional additional than 200 former InterContinental Motels Group (IHG) and Marriott International motels to its portfolio. All of those people houses are owned by resort serious estate proprietor Provider Homes Rely on, which retains a 34% stake in Sonesta.
“Sonesta started off 2020 as a manager of 58 motels less than a few Sonesta-unique brand names in the U.S.,” Sonesta president and CEO Carlos Flores stated in a statement. “On the completion of lodge conversions formerly announced, and the acquisition of RLH, Sonesta will develop into just one of the major lodge organizations in the U.S.”
The addition of the 8 RLH flags will grow Sonesta’s U.S. model rely to 13. Sonesta’s secure features the Royal Sonesta, Sonesta and Sonesta ES Suites brands, as properly as its not long ago launched Sonesta Merely Suites and Sonesta Decide on flags.
Sonesta also has a existence in marketplaces like Canada, Chile, Colombia, Ecuador, Egypt, Peru and St. Maarten.
Concurrent with its takeover of RLH, Sonesta has declared that 35-12 months resort sector veteran Keith Pierce will be becoming a member of the business as government vice president and president of franchise and improvement.
Most a short while ago president and running spouse of hospitality expenditure agency Passionality Group, Pierce has also previously served as executive vice president of manufacturer operations for North America at Wyndham Globally.