Choice’s Grab for Radisson Americas Leaves These Unanswered Questions
Photo Caption: A Radisson Red hotel. Source: Radisson Hotel Americas.
Skift Take
Choice Hotels should be able to make good use of Radisson's Country Inn brand. Odds favor this transaction's long-term success. But the pact between frenemies Choice and Radisson is not without risk.
Early reviews seemed positive for Choice Hotels International's planned acquisition of the core assets of Radisson Hotel Group Americas, announced on Monday. The Maryland-based hospitality franchisor plans to acquire the franchise business, operations, and intellectual property of the Americas division of Belgium-based Radisson Hotel Group, for approximately $675 million.
The deal is unusual in its construction. Choice will run about 600 hotels in the Americas. But it will consult with Radisson Hotel Group on the "growth, continuity, and success of the brands."
"It'll be fascinating to see how these players will be cooperating in the Americas but competing with each other everywhere else," said Baron Ah Moo, managing director, head of U.S., PKF Hospitality Group.
Looking ahead: If Brussels-based Radisson is acquired someday, its new owners might cause complications for Choice.
Brand Float or Brand Bloat?For now, the deal brings nine ne
