Most transactions with hotel assets are in capital market. Who is behind them? I will tell you.

Original: Li Sheng

Blackstone Group

It is an important player in global hospitality investment market.

Today

Even wants a bigger piece of pie

Blackstone Group

Tyler Henritze, Senior Director

Presented at industry investment conference

Since beginning of "new corona" epidemic

Blackstone Group

The total share of investments in hotel business is

"Historic Low"

Now we hope to have more hotels

Back to King of Wall Street

Blackstone Group

Over $800 billion in assets under management

For Chinese

Recent and most familiar with him

News about Pan Shiyi and SOHO China

2 weeks ago

Announced by Pan Shiyi, chairman of SOHO China

Called with a 30% discount

32,000 square meters of high quality real estate in Beijing and Shanghai for sale

Immediately in list of popular searches

Before

June 2021

SOHO China

Zeng Guanxuan Blackstone Group

Communication about general tender offer

At that time

Blackstone Group

Offered at a total price of HK$23.658 billion

Acquisition of a majority stake in SOHO China

However

3 months later

SOHO China released an announcement

Blackstone Group acquisition terminated

Public opinion claims that SOHO China was a Blackstone group

"Refuse"

Nevertheless

This alternative asset management organization

Still caught eye of people and left a deep impression

Blackstone was founded in 1985.

Total investment of $400,000 since launch

To date, scale of asset management is 800 billion US dollars

Blackstone Group

Become world

One of largest independent alternative asset managers

Although

Compared to other established financial giants on Wall Street, qualifications are still young

But after over 30 years of development

Blackstone Group is a leader in private equity industry

Known as "King of Wall Street PE". His activities are very wide

Before SOHO

Since 2008

Blackstone is active in real estate in China

One after other invested in office buildings in China

Shopping malls, etc.

December 2018

Blackstone Group for $1.2 billion

Singapore Mapletree Group Acquisition of Shanghai Vivocity

And adjacent office building

2019

Including Hong Kong International Construction and Shanghai Changtai Plaza

2020

Blackstone announces acquisition of R&F Properties

Guangzhou International Airport R&F Integrated Logistics Project Acquisition Plan

The deal will officially close in January 2021

However

Formerly a Blackstone real estate investment

The biggest impact was acquisition of Hilton Hotel Group in 2007.

Best Leveraged Acquisition Ever: Hilton Hotel Group IPO

Autumn 2007

Blackstone Group

$26 billion spent at height of real estate bubble

Hilton was acquired in a leveraged transaction

What is getting a pole of analysis?

A leveraged buyout, i.e. taking a loan from a bank to acquire a company and then using company as collateral and then using cash flow generated by company to pay off principal and interest

Blackstone Group

Using US$6 billion in cash and US$20 billion in bank loans

A leveraged acquisition of Hilton Hotel Group

At that time

Hilton owns 10 hotel brands

2800 hotels worldwide, almost 500,000 rooms

2008

When financial crisis hits

Amid global economic depression, hotel industry is also in decline

Facing huge pressure to cut assets

Blackstone began operating and setting up Hilton

Strive to fix Hilton management team

Come see Chris Nassette

CEO of Hilton Hotel Group

As soon as he took office, he implemented a number of plans

If headquarters

Moved from Beverly Hills, California to Virginia.

Replacement of senior management, etc.

Significant reduction in operating costs

In addition

Blackstone contributes to development of Hilton franchise model

From here

Hilton as brand manager

Let brand hotel spread around world with minimal investment

Significantly enhanced brand effect

So

Hilton not only survived financial crisis

Also successfully moved to IPO

December 2013

Hilton

The shares are listed on New York Stock Exchange at $20 per share

About $14 billion in profit

Create a hotel company

Biggest listing funding record

This has become a trump card in Blackstone Group's wealth management

Other investments and prospects

Blackstone's Group

From 2018, investments in Hilton will be phased out

However, their interest in hotel business has not diminished at all

For example

March

Blackstone and Starwood comments

We plan to jointly acquire long-term stay hotels in United States for $6 billion

Extended stay in America

This time

Joint acquisition shows two companies

We will make more transactions. Use this as a reason to hold capital

Hotel brand for extended stays

This is Blackstone

One of types of companies that invested early in epidemic

Earlier

Blackstone Group

He also owns a brand of extended stay hotels

Acquisition of Extended Stay America

It is expected to be completed in second quarter of this year

Most likely, it's far away

The largest hotel acquisition during epidemic

Tyler Henritz

In a statement

Travel and leisure is one of most popular Blackstone themes

We are confident in our extended stay model

Almost 20 years ago

We helped create Extended Stay America

We also believe in our experience

Gives Blackstone a unique market position to create long-term value

Blackstone Group

Action also becomes a capital market to a certain extent

Weather vane of industry

Blackstone Group

The spokesperson also said that although epidemic has turned tourism industry upside down

But travel and leisure industry is still a Blackstone group

The Most Trusted Investment Theme

one

Blackstone predicts

The long-term residence industry will recover quickly

But still looking for other niches to invest in

Blackstone Group

I also successfully bought bottom during epidemic

Australian Crown Resort Group (Crown) hit hard

Crown Group

The largest casino operator in Australia

In last two years

Crown Group

Our business is affected by new corona epidemic and regulations

Legend Crown Group

Estimates drop to historic lows

February 14

Crown Group announces

Accept A$8.9 billion offer from Blackstone

The takeover offer is equivalent to approximately $6.4 billion

As far as I know

Black Stone will be held for first time on April 13, 2021

Proposed acquisition plan for Crown Group

And with Australian gaming giant The Star

In Oaktree Capital competition

Blackstone Group quadrupled purchase price

Except Crown Group

The assets of gaming hotels have passed into hands of Blackstone Group

Another year of 2019

From MGM

The Bellagio Hotel and Casino in Las Vegas that was taken over

Cosmopolitan Casino

And Spain's largest casino operator, Cirsa

Blackstone Group

When relevant person in charge talks about investing in hotel assets

Showed great interest in select serviced hotels

Higher business relevance of some service hotels

Easier to modify

Tyler Henritz

then think

Compared to full-service hotels

Heavy

The selected services are more targeted, they know what they are