Choice Hotels International, Inc. · NYSE:CHH
Choice Hotels International — Merger or Acquisition (June 2022)
17 slides from Choice Hotels International's merger presentation, Jun 13, 2022
Slide 1: Acquisition of Radisson Hotels Group Americas
Acquisition of Radisson Hotels Group AmericasJune 2022 Radisson Blu, Aruba CHOICE HOTELS®
Slide 2: Forward-looking Statements
Forward-looking Statements Certain, Certain matters but not necessarily discussed in all, this of presentation such forward-looking constitute statements “forward-looking can be identified statements” by within the use the of forward-looking meaning of the Private terminology, Securities such Litiga
Slide 3: Table of Contents
Table of Contents 1 Transaction Overview 2 Strategic Rationale 3 Radisson Hotels Group Americas Overview
Slide 4: Transaction Overview
Transaction Overview CHOICE
Slide 5: Strategic Rationale: Radisson Hotels Group Americas Overview
STRATEGIC RATIONALE RADISSON HOTELS GROUP AMERICAS OVERVIEW By acquiring Radisson Hotel Group Americas, Choice Hotels will independently own and control Radisson’s nine brands in the Americas Includes nine brands, 624 hotels and over 68,000 rooms Adds a predominantly franchising business (97%)1 Incr
Slide 6: Overview and Structure of the Transaction
TRANSACTION OVERVIEW STRATEGIC RATIONALE RADISSON HOTELS GROUP AMERICAS OVERVIEW Acquisition of Radisson Hotels Americas unites two highly complementary business and expands Choice Hotels’ growth vectors CHOICE HOTELS ® + RHG RADISSON HOTEL GROUP AMERICAS Overview and Structure ◾ Choice has entered
Slide 7: Combination with Radisson Americas enhances Choice's competitive position
TRANSACTION OVERVIEW STRATEGIC RATIONALE RADISSON HOTELS GROUP AMERICAS OVERVIEW Combination with Radisson Americas enhances Choice’s competitive position CHOICE HOTELS® + RHG RADISSON HOTEL GROUP AMERICAS Proforma Portfolio Hotels in operation >7,000 >620 >7,600 Rooms in operation >575,000 >68,000
Slide 8: Financial transaction expected to drive value creation for shareholders
TRANSACTION OVERVIEW STRATEGIC RATIONALE RADISSON HOTELS GROUP AMERICAS OVERVIEW Compelling financial transaction is expected to drive meaningful value creation for shareholders Fee Business Real Estate Tax Benefits Radisson Americas is forecasted Portfolio of 3 owned hotels with An anticipated pres
Slide 9: Strategic Rationale
Strategic 2 Rationale Country Inn & Suites, Asheville Westgate, NC
Slide 10: Summary of Strategic Rationale
TRANSACTION OVERVIEW RADISSON HOTELS GROUP AMERICAS OVERVIEW Summary of Strategic Rationale 1 Expands footprint in international markets and Upscale segments and enhances guest offerings in the core Upper-midscale segment 2 Accelerates asset-light strategy of growth in higher revenue travel segments
Slide 11: Expands footprint in international markets and Upscale segments
TRANSACTION OVERVIEW RADISSON HOTELS GROUP AMERICAS OVERVIEW 1 Expands footprint in international markets and Upscale segments and enhances guest offerings in the core Upper-midscale segment Expands Choice’s global footprint by 624 hotels Supplements Choice’s current brand portfolio with additional
Slide 12: Accelerates asset-light strategy of growth in higher revenue segments
TRANSACTION OVERVIEW STRATEGIC RATIONALE RADISSON HOTELS GROUP AMERICAS OVERVIEW 2 Accelerates asset-light strategy of growth in higher revenue travel segments and locations Increases brand global Upscale and Upper-midscale portfolios by 64% and 17%, respectively:1 Global Upscale Portfolio Adding 30
Slide 13: Continues history of organic and inorganic growth in strategic segments
TRANSACTION OVERVIEW STRATEGIC RATIONALE RADISSON HOTELS GROUP AMERICAS OVERVIEW 3 Continues Choice’s demonstrated history of driving organic and inorganic growth in strategic segments Leverages proven track-record of M&A as a catalyst for growth in strategic segments ◾ Grew WoodSpring Suites’ domes
Slide 14: Improves return on investment for franchise owners
TRANSACTION OVERVIEW STRATEGIC RATIONALE RADISSON HOTELS GROUP AMERICAS OVERVIEW 4 Improves return on investment for franchise owners Leverages combined capabilities to provide franchise owners with a best-in-class suite of hotel operations, sales, marketing and technology tools designed to drive ow
Slide 15: Drives greater value through expanded customer reach
TRANSACTION OVERVIEW STRATEGIC RATIONALE RADISSON HOTELS GROUP AMERICAS OVERVIEW 5 Drives greater value through expanded customer reach and platform business and ancillary revenue 63+ million members will be introduced to a broader universe Offers guests accommodations that meet their needs across m
Slide 16: Radisson Hotels Group Americas Overview
3 Radisson Hotels Group Americas Overview Radisson Resort, Paracas, Peru
Slide 17: Radisson Hotels Group Americas' brands complement Choice Hotels' portfolio
TRANSACTION OVERVIEW STRATEGIC RATIONALE RADISSON HOTELS GROUP AMERICAS OVERVIEW Radisson Hotels Group Americas’ brands are complementary to Choice Hotels’ well-segmented portfolio 624 representing ~68,500 in 19 with 8,700+ and 10+ million Open Hotels Rooms the Americas Countries Region in the Rooms
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