The Munich hotel chain Motel One is now solely owned by the investor group around company founder Dieter Müller. He wants to take the chain public in the medium term. It is now valued at 4.1 billion euros.
The majority shareholder of the Munich hotel chain Motel One, led by founder Dieter Müller, has taken over the minority stake from the financial investor Proprium. According to the company, 1.25 billion euros were paid for the 35 percent. Motel One was therefore valued at 4.1 billion euros.
For Proprium, joining Motel One was worth it: in 2007, the former subsidiary of the investment bank Morgan Stanley, which specializes in real estate financing, said it invested 65 million euros in Motel One as part of a capital increase. The “Financial Times” reported that Proprium had increased its stake, including dividends, more than twenty-fold.
Profit doubled
The hotel group has expanded significantly in recent years and today includes 94 hotels with more than 26,000 rooms in 13 countries. A further 23 hotels are “under development”, seven of which are scheduled to open this year. Motel One focuses primarily on business travelers and city tourists who do not need facilities such as restaurants and swimming pools.
A concept that has recently been well received by customers: Last year, the hotel chain made great money, with profit after taxes of 156 million euros, almost twice as high as a year ago. Sales rose by a third to 852 million euros. Motel One spoke of the most successful financial year in the company’s history. A significantly improved average room occupancy rate of 72 percent also contributed to this. That was eight percentage points more than in 2022.
European Football Championship should boost business
The company has finally left the Corona crisis behind it. The pandemic temporarily pushed the chain into the red in 2020 and 2021. Motel One expects income to continue to rise in the current year – partly because of the European Football Championship in Germany. However, the beginning of the year was negatively influenced “by the extensive strikes in rail and air traffic in Germany”.
Motel One founder Müller wants to take the hotel business public in the medium term. Most recently he spoke of an IPO within two to three years. The hotel properties were spun off as part of Proprium’s exit, the statement said.