Tristan Capital’s acquisition of hotel firm and brand EasyHotel has been underwritten with a loan from KKR of €300 million ($349 million).
As reported in an announcement on May 1, it was “estimated that the deal consideration was €242 million ($281.75 million)" and “approximately 189.5 million shares, or 81% of the entire share issue, at an aggregate price of €196.13 million ($224 million).”
Those two sums are significantly less than the €300 million mentioned by KKR in a news release on Dec. 8 and could be as a result of intended capital expenditure or other capital requirements.
The KKR loan — technically to EPISO 6, a fund managed by Tristan — is “secured by a diversified portfolio of 48 owned, leased and franchised hotels, which includes 4,700 rooms across the United Kingdom, Ireland, The Netherlands, Belgium, France, Spain, Switzerland, Germany, Portugal, Hungary and Bulgaria,” according to the news release.
The financing, KKR added, “will also support growth initiatives for the EasyHotel platform, including further advancing the platform’s expansion and investment throughout Europe, new development projects in high-demand markets and CapEx investment across the existing portfolio.”
According to EasyHotel’s website, its portfolio comprises 17 franchised hotels with approximately 1,250 rooms and 32 owned and leased hotels with more than 3,500 rooms.
EasyHotel initially put exit options, including an outright sale, into motion in August 2024.
Founded in 2004, EasyHotel had been publicly listed between 2014 and 2019, but before Tristan stepped in the majority share was owned by ICAMAP and Ivanhoé Cambridge, the real estate division of CDPQ.
The May deal also saw the transfer of the 17.38% of EasyHotel previously owned by the Haji-Ioannou family office, the founders of the brand. The current agreement keeps the EasyHotel brand in private hands.
CoStar News Hotels reached out to KKR but has not heard back from it by press time.