Stockholders OK Acquisition Of Interstate Hotels - Business Travel News

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Stockholders OK Acquisition Of Interstate Hotels

March 11, 2010 - 12:00 AM ET

By Michael B. Baker

Interstate Hotels & Resorts stockholders today approved the company's acquisition by a joint venture of two lodging companies, Thayer Lodging Group and Shanghai Jin Jiang International Hotels Co.

First announced in December (BTNonline, Dec. 18, 2009), the deal gives the joint venture, called Hotel Acquisition Company, control of Interstate's 228 properties, totaling 46,000 rooms. The deal price is $2.25 per share, estimated in December at more than $300 million. Interstate expects the deal to close within the next week.

Interstate's properties are largely in the United States and include hotels under brands by Marriott International, Hilton Worldwide, InterContinental Hotels Group, Starwood Hotels & Resorts and Wyndham Hotel Group. It also has contracts to manage 13 properties under development, including its first property in Costa Rica.

Thayer Lodging is a private equity company that invests exclusively in the lodging industry, and Jin Jiang Hotels is the largest hotel group in China.
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