Hyatt Hotels Corporation is acquiring Two Roads Hospitality, taking in its lifestyle brands Alila, Destination, Joie de Vivre, Thompson and tommie.
Through the addition of Two Roads, its established lifestyle brands and the management agreements for the majority of its 85 properties in eight countries, Hyatt will expand its brand presence into 23 new markets.
The acquisition consists of a base purchase price of US$480 million, with the potential for Hyatt to invest up to an additional US$120 million in the aggregate, contingent on the outcome of certain terms to be individually defined after closing.
After the close of the transaction, which is expected later this year, Hyatt will create a dedicated lifestyle division as a catalyst to bring together the operations of Two Roads’ and Hyatt’s lifestyle brands.
Hyatt plans to integrate Two Roads brands into the World of Hyatt programme in 2019.
Said Mark Hoplamazian, president and CEO, Hyatt Hotels Corporation: “Two Roads’ passionate team members, strong brands, global footprint and robust development pipeline will expand our lifestyle offerings and grow Hyatt’s brand presence in more places where our guests and World of Hyatt members want to travel.
“Importantly, combining Two Roads’ meaningful brand presence and development plans in Asia with Hyatt’s already strong position in this region will allow us to accelerate expansion in this critically important and fast-growing part of the world.”