Chinese hotel operator Huazhu Group has entered into a share purchase agreement to acquire all the shares in German hotel group Steigenberger Hotels Aktiengesellschaft Germany (Deutsche Hospitality) for a cash amount of about €700 mln.
The acquisition is subject to regulatory approvals and certain other closing conditions and is expected to close on or around early next year.
Deutsche Hospitality operates 118 hotels and has 36 hotels under development in 19 countries in Europe, the Middle East and Africa.
'Huazhu has enormous respect and admiration, particularly for the prestigious Steigenberger brand,' said Qi Ji, Founder and Executive Chairman of the Nasdaq-listed Huazhu Group. 'The legendary brand has a tradition for almost 90 years of providing a perfect balance of tradition and modernity to guests from all over the world. The legacy created by a highly respected German family and preserved and enhanced by the current owner and the exceptional management team is at the heart of the appeal of Deutsche Hospitality. Huazhu is committed to fully respecting and embracing the heritage of the company, and working closely with the company’s associates, owners and business partners in helping to write the next chapter.'
