Global private equity investment company Advent International signed a definitive agreement to acquire a majority ownership interest in Aimbridge Hospitality from Lee Equity Partners, a U.S.-based private equity firm, and investment group General Atlantic.
Aimbridge's senior management team will continue to lead the company and will retain a meaningful equity stake in the business.
The financial terms of the transaction have not been disclosed. The transaction is expected to close by February.
Based in Dallas, Aimbridge is a third-party hotel operator with a management portfolio that includes approximately 800 upscale, independent and branded hotels with more than 100,000 rooms across the United States, Canada and the Caribbean. Aimbridge provides property-management, asset-management, development, renovation and consulting services.
"Over the past 15 years Aimbridge has grown to become one of the most respected independent hotel managers in the industry, while creating a positive guest experience and generating operational excellence for our hotel partners," Dave Johnson, chairman and CEO of Aimbridge, said in a statement. "We appreciate Lee Equity's strategic guidance over the past several years, and with Advent's financial and strategic support, we look forward to building on our proven track record of delivering superior results for some of the most prestigious hotel owners and developers across the U.S. and beyond."
"Aimbridge has emerged as the clear leader in the fast-growing and fragmented U.S. third-party hotel management industry, and we are thrilled to partner with the organization as we invest in Aimbridge's next chapter of growth," Jeff Case, a managing director at Advent International, said in a statement. "Aimbridge has a unique opportunity to expand its reach globally through both organic growth and strategic opportunities while leveraging technology to better serve its hotel partners."
"It's been a pleasure to work with the Aimbridge management team," Yoo Jin Kim, partner at Lee Equity Partners, said in a statement. "Under Dave Johnson's strong leadership, the team has grown the business consistently during our partnership and established a prominent market-leading position. We look forward to their next phase of success."
"Over the past several years, Aimbridge has expanded significantly both through organic growth and strategic acquisitions," Peter Munzig, managing director of General Atlantic, said in a statement. "We have been proud to work in partnership with Dave and the Aimbridge team and wish them continued success."
Over the past 27 years, Advent has invested $9 billion in 75 business and financial services companies, and $11 billion in 75 companies in the consumer, retail and leisure sectors.