Hotel and resort management company Benchmark Pyramid has announced it will acquire independent hotel developer and operator Provenance Hotels.
The deal will add Provenance’s 12 hotels to Benchmark Pyramid’s portfolio of more than 240 properties across the U.S., Europe and Caribbean, according to a news release announcing the deal Monday. The deal is expected to close in the second quarter of 2022 pending lender consent, something all parties expect will be forthcoming quickly. The companies did not disclose the terms of the deal.
"The decades of highly successful management from the Provenance team is something we look forward to building upon as we continue to create the most owner-focused, experiential company in the industry," Benchmark Pyramid CEO Warren Fields said.
The transaction is an exciting step forward for Provenance, its employees and guests, Provenance President and CEO Katherine Durant said in the release.
“As part of Benchmark Pyramid, Provenance employees will gain access to even greater employment opportunities, and our guests will benefit from the resources of a larger organization with a global portfolio of properties,” she said. “We are confident that Benchmark Pyramid shares our employee-oriented culture and values, and we look forward to a bright future for our combined company."
Once the deal closes, Provenance founder and chairman Gordon Sondland will join Benchmark Pyramid’s board of directors.
"We are thrilled to join forces with Benchmark Pyramid, a celebrated leader in the hospitality industry with a history of success,” Sondland said in the release. “Together, we have great opportunities for growth, and I look forward to remaining engaged with the company and its world-class management team as a member of the combined company's board."
It is the latest of several third-party hotel management mergers and acquisitions, including Aimbridge Hospitality's acquisition of Prism Hotels & Resorts and Terrapin Hospitality acquiring K Partners. Ashford Inc.’s Remington Hotels announced earlier today its acquisition of Chesapeake Hospitality.
Benchmark Pyramid itself is the result of the merger of Benchmark Global Hospitality and Pyramid Hotel Group in September 2021.