Minor International (MINT) has won the Merger & Acquisition/Portfolio of the Year 2019 award at Hotel Investment Conference Europe.
Attendees included leading debt, equity and development firms from 29 countries, attracting a number of top European hotel investment leaders.
Selected from three finalists, MINT won for its acquisition of NH Hotel Group. The €2.5-billion deal was the largest M&A transaction in MINT's history and improved its brand strength and the geographic diversity of NH Hotel Group's portfolio of hotels.
MINT prevailed in a takeover battle for NH Hotel Group against top global hotel operators and private equity funds (most of whom are larger than MINT) to succeed in acquiring a 94.1% stake. The acquisition was completed at an attractive multiple to enterprise value/earnings before interest, taxes, depreciation and amortisation that was significantly lower than comparable transactions and did not include any control premium.
MINT deployed a range of M&A strategies to complete the complex transaction, including undisclosed retail-lot accumulations, strategic block trades, definitive and conditional purchase agreements, a public tender offer, and strategic shareholder and target engagement. These were coordinated in a nimble and fluid manner, against strong competition, to ultimately win the deal and consummate a successful transaction.
"We are delighted and honoured to be recognised for our efforts in the acquisition of NH Hotel Group," said William Heinecke, founder and chairman of MINT. "Our lean organisational structure allowed for an extremely efficient risk evaluation, due diligence, approval and execution process, which proved to be a key advantage over our competitors.
"Our investment in NH Hotel Group has broadened our global footprint and is highly complementary to our pre-transaction hotel business portfolio. We have already been working very closely with NH Hotel Group to create an even larger and more competitive hospitality platform for our future growth."
Dillip Rajakarier, chief operating officer of MINT and chief executive of Minor Hotels, said: "We were able to outmanoeuvre global bid competitors in this battle.
"The combined MINT-NH Hotel platform has allowed us to create significant value for both companies. Examples include the recent sale and leaseback transaction of three Tivoli assets in Portugal and the launch of Anantara Villa Padierna Palace Benahavis Marbella Resort, the first Anantara hotel in Spain. Both deals leveraged MINT and NH Hotel Group's expertise and networks."