Hyatt in Advanced Talks to Acquire Standard Hotels

18.07.2024 - 13:55 / skift.com / Sean Oneill / Alan Woinski / Hyatt Hotels

Hyatt is close to a deal to buy Standard International, the operator of the upscale The Standard Hotels, according to reports on Thursday.

Talks between Hyatt and Standard “are in advanced stages,” according to Bloomberg News sources, but “a deal could fall through.”

“As a matter of policy, we don’t comment on questions of this nature,” a Hyatt spokesperson told Skift. “We remain committed to asset-light growth through both organic growth and strategic acquisitions but have nothing new to share at this time.”

A spokesperson for Standard International didn’t immediately respond to a request for comment.

A source at Hyatt not involved in the talks but familiar with them told Skift that negotiations were ongoing, with a hoped deal signing before Hyatt’s planned earnings call on August 6. The talks hadn’t been finalized, and Hyatt has walked away from deals at the last minute if problems appear, the source said.

Since 2017, Sansiri, a luxury real estate property developer based in Thailand, has been the majority shareholder of Standard International.

“Hyatt seems to want to collect as many niche brands as possible,” said Alan Woinski, editor of Skift’s Daily Lodging Report. “Some would say this is to compete with Marriott and Hilton, which have the corner on brands in sheer numbers. I think Hyatt is trying to secure its own niche, focusing on accumulating non-traditional type hotel brands.”

It’s unclear if the deal will include the Bunkhouse Group of hotels, a brand of more affordable lifestyle properties that became part of Standard International in 2016 when the founder of The Standard Hotels, André Balazs, bought a 51% stake in the Austin-based company.

Balazs, a boutique hotel pioneer, created The Standard Hotel in Los Angeles a quarter-century ago, though that property has since closed. The current flagship for The Standard is a boutique hotel in New York City. The company has expanded to 9 other properties worldwide.

Its StandardX brand is set to debut on August 8 with StandardX Melbourne. This more affordable version of The Standard won’t have the flagship brand’s party vibe, such as its iconic Boom Boom Room nightclub. But it will have a restaurant and bar that it hopes will set the local scene. Standard International had said it planned to expand the brand to Bangkok and beyond.

What am I looking at? The performance of hotels and short-term rental sector stocks within the ST200. The index includes companies publicly traded across global markets, including international and regional hotel brands, hotel REITs, hotel management companies, alternative accommodations, and timeshares.

The Skift Travel 200 (ST200) combines the financial performance of nearly 200 travel companies worth more than a