Choice Hotels Acquires Radisson Hotels Americas for $675 Million

Rockville, Maryland-based Choice Hotels International has shared that it will acquire Radisson Hotel Group Americas.

The takeover comes just 1 year after the former Radisson Hotels group split into Radisson Hotels Americas and Radisson Hotels, the latter of which covers all its hotels worldwide outside the Americas region.

“Choice has a well-established history of smart acquisitions in new segments where our world-class franchising engine can spur future growth,” said Patrick Pacious, President and Chief Executive Officer at Choice Hotels.

Let’s take a look at what the latest merger in the travel industry means for you.

Table of Contents

Choice Hotels Acquiring Radisson Hotels Americas
What if I Have a Booking With Radisson?
What About My Radisson Rewards Points?
Final Thoughts

Choice Hotels Acquiring Radisson Hotels Americas

Choice Hotels will purchase all operations, assets, and intellectual property of Radisson Hotels Americas across Canada, the Caribbean, Central America, South America, and the United States for $675 million.

This means that once the deal is complete, Choice’s portfolio will increase in size by a whopping 624 hotels and over 68,000 rooms, the majority of which are found on the West Coast and Midwest regions of the U.S.

The majority of Radisson Hotels Americas’ portfolio is comprised of Country Inn & Suites by Radisson properties, with 453 across the region. In addition, Choice will acquire 130 Radisson hotels, 17 Park Inn by Radisson hotels, 10 Radisson Blu hotels, 9 Radisson Individual hotels, 4 Radisson Red hotels, and 1 Park Plaza hotel.

The Radisson Blu Aruba will soon be a Choice hotel. Image Credit: Radisson Hotels Americas

While there will be a change of ownership and management, Radisson Hotels Americas properties will still exist — for the most part — as they are now.

“This transaction brings together two highly complementary businesses, enhancing our guest offerings in the core upper-midscale hospitality segments while extending our reach into the upper-upscale and upscale full-service segments and in higher revenue geographic markets,” said Pacious. “We are confident that guests and franchisees will significantly benefit by combining these two exceptional sets of brands.”

Final regulatory approvals and closing are expected to be completed sometime in the second half of 2022.

What if I Have a Booking With Radisson?

Existing Radisson bookings will still be valid and there’s nothing you need to do with them — at least right now.

That said, be aware of any potential “growing pains” in the immediate days and weeks following the completion of the deal, as systems may change and staff will have to familiarize themselves with new ways of operating.

What About My Radisson Rewards Points?

At this point, we don’t have any information regarding what will happen to your existing Radisson Rewards Americas points.

The Radisson Rewards Americas program will continue to exist after the acquisition. However, Choice has its own loyalty program — Choice Privileges — so there are 2 possible outcomes:

Radisson Rewards Americas members will be able to choose between transferring their points to either the Radisson Rewards program, the Choice Privileges program, or back and forth between the 2.
Once the acquisition is complete, all Radisson Rewards Americas points and status will be automatically converted into equivalent levels within the Choice Privileges program.

In our view, it would be the fairest to give current Radisson Rewards Americas members a say in deciding how they’d like to use their hard-earned points going forward. However, as we’ve seen before with mergers and acquisitions in the past, the consumer doesn’t always come out on top.

Hot Tip: As a reminder, Radisson Rewards Americas points are transferable at a 1:1 ratio to the Radisson Rewards program. Those points can be redeemed at properties outside the Americas.

Final Thoughts

Choice Hotels is poised to take over Radisson Hotels Americas by the end of this year. In the short term, you won’t notice much change during any stays you may have already booked at a Radisson Hotels Americas property.

However, this is a developing story, so we’ll be sure to update you as soon as we have more information about what the combined future of these 2 programs will look like.