Starwood Capital Group to Acquire TMI Hospitality
Starwood Capital Group (“Starwood Capital”), a leading global private investment firm, and TMI Hospitality, Inc. have announced that Starwood Capital, through a controlled affiliate of Starwood Global Opportunity Fund X, has entered into an agreement to acquire all of the outstanding stock of TMI Hospitality from the TMI Hospitality Employee Stock Ownership Plan. The acquisition includes 188 hotels, the management company and the development platform. The transaction is subject to customary closing conditions, including certain franchisor and lender approvals.
Starwood Capital and its investors currently own 103 select-service hotels covering two-thirds of the United States. Following the close of the acquisition, the firm will control 291 select-service and extended stay hotels across 39 states in the United States.
TMI Hospitality is a developer, owner and operator of more than 180 select-service and extended-stay hotels across 26 states. The Fargo, North Dakota-based company employs more than 4,000 team members.
Citigroup Global Markets Inc. acted as lead financial advisor to TMI Hospitality and Butcher Joseph Hayes also acted as financial advisor to TMI. Hentschel & Company provided a fairness opinion to TMI Hospitality’s Board of Directors. Morrison & Foerster LLP and Morgan, Lewis & Bockius LLP are serving as legal counsel to TMI Hospitality. Starwood Capital received legal counsel from Latham & Watkins LLP and financial advice from BofA Merrill Lynch and Barclays.
Starwood Capital and its investors currently own 103 select-service hotels covering two-thirds of the United States. Following the close of the acquisition, the firm will control 291 select-service and extended stay hotels across 39 states in the United States.
TMI Hospitality is a developer, owner and operator of more than 180 select-service and extended-stay hotels across 26 states. The Fargo, North Dakota-based company employs more than 4,000 team members.
Citigroup Global Markets Inc. acted as lead financial advisor to TMI Hospitality and Butcher Joseph Hayes also acted as financial advisor to TMI. Hentschel & Company provided a fairness opinion to TMI Hospitality’s Board of Directors. Morrison & Foerster LLP and Morgan, Lewis & Bockius LLP are serving as legal counsel to TMI Hospitality. Starwood Capital received legal counsel from Latham & Watkins LLP and financial advice from BofA Merrill Lynch and Barclays.