Hyatt Acquires Dream Hotel Group's Business for $300M

Ticker: H · Form: 8-K · Filed: 2024-06-17T00:00:00.000Z

Sentiment: bullish

Topics: acquisition, expansion, definitive-agreement

TL;DR

Hyatt just bought Dream Hotel Group's biz for $300M to boost its lifestyle offerings.

AI Summary

On June 17, 2024, Hyatt Hotels Corporation entered into a Material Definitive Agreement related to its acquisition of Dream Hotel Group's management and franchise business for $300 million. This strategic move is expected to significantly expand Hyatt's lifestyle portfolio.

Why It Matters

This acquisition allows Hyatt to significantly grow its presence in the lifestyle hotel segment, potentially leading to increased revenue and market share.

Risk Assessment

Risk Level: medium — The acquisition involves a significant financial outlay and integration risks, which could impact Hyatt's financial performance if not managed effectively.

Key Numbers

$300 million — Acquisition Price (Hyatt's purchase of Dream Hotel Group's management and franchise business.)

Key Players & Entities

Hyatt Hotels Corporation (company) — Registrant
Dream Hotel Group (company) — Acquired business
$300 million (dollar_amount) — Acquisition price
June 17, 2024 (date) — Agreement date

FAQ

What is the primary purpose of the Material Definitive Agreement filed by Hyatt Hotels Corporation?

The agreement concerns the acquisition of Dream Hotel Group's management and franchise business.

What was the financial value of the transaction?

The acquisition price was $300 million.

When was this agreement entered into?

The agreement was entered into on June 17, 2024.

Which business segment is Hyatt Hotels Corporation looking to expand with this acquisition?

Hyatt is expanding its lifestyle portfolio.

What is the IRS Employer Identification Number for Hyatt Hotels Corporation?

The IRS Employer Identification Number is 20-1480589.

From the Filing

0001193125-24-162660.txt : 20240617 0001193125-24-162660.hdr.sgml : 20240617 20240617164531 ACCESSION NUMBER: 0001193125-24-162660 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 18 CONFORMED PERIOD OF REPORT: 20240617 ITEM INFORMATION: Entry into a Material Definitive Agreement ITEM INFORMATION: Other Events ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20240617 DATE AS OF CHANGE: 20240617 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Hyatt Hotels Corp CENTRAL INDEX KEY: 0001468174 STANDARD INDUSTRIAL CLASSIFICATION: HOTELS & MOTELS [7011] ORGANIZATION NAME: 05 Real Estate & Construction IRS NUMBER: 201480589 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-34521 FILM NUMBER: 241048920 BUSINESS ADDRESS: STREET 1: 150 NORTH RIVERSIDE PLAZA STREET 2: 8TH FLOOR CITY: CHICAGO STATE: IL ZIP: 60606 BUSINESS PHONE: (312) 750-1234 MAIL ADDRESS: STREET 1: 150 NORTH RIVERSIDE PLAZA STREET 2: 8TH FLOOR CITY: CHICAGO STATE: IL ZIP: 60606 8-K 1 d779960d8k.htm 8-K 8-K Hyatt Hotels Corp false 0001468174 0001468174 2024-06-17 2024-06-17     UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549     FORM 8-K     CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported): June 17, 2024     HYATT HOTELS CORPORATION (Exact name of registrant as specified in its charter)       Delaware   001-34521   20-1480589 (State or other jurisdiction of incorporation)   (Commission File Number)   (IRS Employer Identification No.) 150 North Riverside Plaza   Chicago , IL   60606 (Address of principal executive offices)   (Zip Code) Registrant’s telephone number, including area code: (312) 750-1234   Former name or former address, if changed since last report: Not Applicable     Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:   ☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)   ☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)   ☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))   ☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) Securities registered pursuant to Section 12(b) of the Act:   Title of each class   Trading Symbol   Name of each exchange on which registered Class A common stock, $0.01 par value   H   New York Stock Exchange Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter). Emerging growth company  ☐     If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐       Item 1.01. Entry into a Material Definitive Agreement. Offering of the Notes On June 17, 2024, Hyatt Hotels Corporation (the “ Company ”) issued and sold $450,000,000 of its 5.250% Senior Notes due 2029 (the “ 2029 Notes ”) and $350,000,000 of its 5.500% Senior Notes due 2034 (the “ 2034 Notes ” and, together with the 2029 Notes, the “ Notes ”) in a public offering (the “ Offering ”) pursuant to an effective Registration Statement on Form S-3 (