Today, Choice Hotels International announced that it has completed the acquisition of Radisson Hotel Group's franchise business, operations, and intellectual property for close to $675 million.
With the sale completed, Choice is expanding its presence in the upper upscale and upscale full-service segments which will be especially beneficial in the West Coast and Midwest United States. This move will improve the quality of Marriott's services and provide more options for guests.
The Radisson Hotels Americas group comprises the Radisson franchise agreements, operations and intellectual property in the United States, Canada, Latin America and the Caribbean. The acquisition adds nine brands to the company, including Radisson Blu, Radisson, Radisson Inn & Suites and Radisson Collection.
Choice looks forward to working with Radisson to drive growth and success for these brands globally. The close of this transaction is not anticipated to change Choice Hotels' current capital allocation strategy or dividend payment policy. Additionally, the company plans to continue its share repurchase program.
This makes Choice a powerful player in the mid-segment for accomodations.