Independent Hotel Brands: Standalone Success or Prime Targets for Takeover?

The global hotel giants want to acquire smaller companies that fill geographic or branding holes in their portfolio. Whether the independent brands collectively want to link up with Goliath is a different story. Hyatt plans to acquire Apple Leisure Group for $2.7 billion, a deal that beefs up the Chicago-based hotel company’s footing in Europe and in the resort market. The acquisition is one of the largest made during the pandemic by a traditional hotel company, and it signals how many hotel executives see the future of mergers and acquisitions: targeted growth rather than buying big. Independent hotel companies are aware they’re in the crosshairs. “It's hard to see another blockbuster transaction. I believe there are diminishing returns to the number of brands one company owns. I mean, it's almost like enough is enough. I think that wave is kind of over,” Standard International CEO Amar Lalvani said in an interview with Skift. “I can tell you, even from our experience, th