Sat Sep 21 11:41:14 UTC 2024: ## OYO Acquires Motel 6 Parent Company G6 Hospitality for $525 Million

**New Delhi, India** – Oravel Stays, the parent company of global travel technology company OYO, has announced the acquisition of G6 Hospitality, the parent company of Motel 6 and Studio 6, from Blackstone Real Estate for $525 million in an all-cash transaction.

This acquisition marks a significant step for OYO in strengthening its international presence, particularly in the United States. OYO has been expanding its US footprint since 2019 and currently operates over 320 hotels across 35 states. The company aims to add another 250 hotels to its US portfolio in 2024.

OYO CEO Gautam Swaroop highlights the synergistic benefits of the deal, stating that Motel 6’s strong brand recognition and financial profile, combined with OYO’s innovative approach to hospitality, will drive sustainable growth. Motel 6’s franchise network generates a significant revenue stream of $1.7 billion annually.

OYO plans to leverage its technology platform, global distribution network, and marketing expertise to enhance the Motel 6 and Studio 6 brands, driving continued financial growth.

Blackstone, the previous owner, invested heavily in transforming G6 into a leading asset-light lodging company with a franchise network spanning 1,500 hotels across the US and Canada.

Julie Arrowsmith, President and CEO of G6 Hospitality, expressed gratitude for the partnership with Blackstone and welcomed OYO’s innovative approach, believing it will enhance offerings and provide greater value to guests.

The transaction is expected to close in the fourth quarter of 2024, subject to customary closing conditions. Blackstone, through this deal, achieved significant returns for investors, tripling their capital and generating over $1 billion in profit during their ownership period.

The acquisition is anticipated to significantly bolster OYO’s position in the US lodging market, leveraging the established brand equity of Motel 6 and Studio 6. It also underscores OYO’s commitment to international expansion and its strategy to become a leading player in the global hospitality sector.

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