Baupost: Ties Up With KKR for UK Marriott Hotel Acquisition
Deal News | Dec 03, 2024 | Ropes & Gray
The Baupost Group, a leading investment firm, has partnered with KKR to acquire a portfolio of 33 Marriott hotels across the United Kingdom from a subsidiary of the Abu Dhabi Investment Authority (ADIA). This strategic acquisition sees Amante Capital, KKR's European hospitality platform, taking the role of managing partner for the joint venture, ensuring that the properties will continue operating under the premium Marriott brand. The portfolio, featuring more than 6,500 rooms with recent refurbishments, includes hotels in prime locations such as London, Edinburgh, Glasgow, Leeds, and Liverpool. These accommodations range from full-service properties to those offering amenities catering to both business and leisure clients, with features like conference centers and recreational facilities. Legal advisory for the transaction was provided by Ropes & Gray, with their team led by PERE partners and counsel, supported by associates and specialists in tax, antitrust, and finance.
Sectors
- Hospitality & Tourism
- Private Equity & Investment Management
- Real Estate
Geography
- United Kingdom – The geography is relevant as the acquisition targets hotel properties located across the UK, including major cities like London, Edinburgh, and Glasgow.
- United States – Both The Baupost Group and KKR are based in the United States, making this geography relevant to the participating companies.
Industry
- Hospitality & Tourism – This classification is relevant as the transaction involves the acquisition of a portfolio of 33 Marriott hotels, highlighting the focus on hospitality and tourism infrastructure.
- Private Equity & Investment Management – The involvement of The Baupost Group and KKR, both major investment entities, aligns with the private equity and investment management industry classification.
- Real Estate – The transaction involves real estate assets in the form of hotels, making this classification pertinent to the article.
Financials
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| The Baupost Group | Bidding Company | Company | A leading investment firm that partnered with KKR to acquire the Marriott hotel portfolio. |
| KKR | Bidding Company | Company | A global investment firm involved in the joint venture with The Baupost Group to purchase the hotel portfolio. |
| Abu Dhabi Investment Authority (ADIA) | Vendor | Company | The seller of the 33 Marriott hotel portfolio. |
| Amante Capital | Managing Partner | Company | KKR's European hospitality platform, acting as managing partner for the joint venture. |
| Ropes & Gray | Legal Advisor | Company | Providing legal advisory services to The Baupost Group in the joint venture acquisition. |