Acquisition Overview: OYO acquires G6 Hospitality for $525 million in an all-cash deal, expanding into the US and Canadian markets.
G6 Hospitality’s Network: G6 Hospitality, the parent company of the Iconic Motel 6 and Studio 6, operates nearly 1,500 economy lodging locations across the US and Canada, generating $1.7 billion in gross room revenue.
Location Advantage: G6 motels are strategically located near airports, freeways, and thoroughfares, with Studio 6 featuring over 200 properties in cities like Atlanta, Dallas, Houston, Seattle, and Canada.
Closing Timeline: The acquisition is expected to close in Q4 2024, pending customary closing conditions.
Funding and Valuation: The acquisition follows OYO's $173.5 million Series G funding, which reduced its valuation to $2.5 billion, down from a previous valuation of $10 billion.