Sunday, September 22, 2024

"motel 6 sold to indian hotel operator for $525 million," at a massive loss

By R.C.
sunday, september 22, 2024 at 05:02:40 p.m. edt

"motel 6 sold to indian hotel operator for $525 million"

"the budget motel chain motel 6 is being acquired by the parent company of oyo, a hotel operator based in india"

https://abcnews.go.com/US/wireStory/motel-6-sold-indian-hotel-operator-525-million-113898206

Did he use a dei loan from the sba to buy motel 6?



3 comments:

Anonymous said...

Around here,they became another name,then another--all basically,places of prostitution--and the occasional murder/overdose.black populated.

--GRA

AbolishTenure said...

"Blackstone had purchased Motel 6 and Studio 6 in 2012 for $1.9 billion. Since then, the private equity giant says it has heavily invested in the brand and pursued a strategy that converted the chain into a franchise."

So $1.9 billion minus $525 million = $1.375 billion difference (not even counting what Blackstone "heavily invested"). Did Blackstone take a 72% loss? Or did franchisees individually borrow lots of money to purchase the physical hotels and then Blackstone just sold the stack of paper, the franchise contracts?

Yet the Blackstone dude is quoted: “This transaction is a terrific outcome for investors and is the culmination of an ambitious business plan that more than tripled our investors’ capital."

Associated Press was curiously uncurious. Which shell is the ball under? Let me guess? The shell that's ten time zones away?

As the press is always uncurious about how it is that cities get away with rapacious taxes on hotel stays, feathering the nest of tourism promotion operations. And uncurious about following the money when one of these hotel operators contracts with the government to "shelter" "migrants".

Anonymous said...

Many years ago I used to stay at Motel 6--when it cost around $10 a night. But quality went steadily downhill as the price rose. I read an article saying that after a crime, one of first places cops looked was the local Motel 6. Also, after many bad experiences, I learned to try to avoid Indian (dot not feather) owned motels. I had good experiences at an AMERICAN (feather not dot) Indian owned motel.