24 Sept 2024
Blackstone Real Estate owns G6 Hospitality, which has brands like Motel 6 and Studio 6 under its umbrella.
Oravel Stays, the parent of the Indian hospitality giant OYO, launched in the US in 2019 and swiftly expanded to 320 hotels across 35 states. Last year, OYO added almost 100 hotels and planned to add 250 more this year. It has now agreed to acquire G6 Hospitality from Blackstone Real Estate for ₹4,383 crore or USD 525 million in an all-cash deal.
Motel 6 is an over-60-year-old brand that operates around 1500 properties in the US and Canada. It generates $1.7 billion in room revenue annually, which creates a strong fee structure and cash flow for its parent, G6. OYO’s comprehensive technology offerings, global distribution network, and marketing expertise will help both Motel 6 and Studio 6 brands grow.
The deal is expected to close in early 2025, subject to certain conditions. Motel 6 will continue to operate as a separate entity after the acquisition.