Transaction Makes Marriott International the Largest Hotel Company in the Caribbean and Latin America
BETHESDA, Md., May 1, 2023 /PRNewswire/ -- Marriott International, Inc. (NASDAQ: MAR) announced today that it has completed its acquisition of the City Express brand portfolio from Hoteles City Express, S.A.B. de C.V. (BMV: HCITY). With this acquisition, Marriott International has entered the affordable midscale segment and is launching its 31st brand, City Express by Marriott.
"We are thrilled to expand our portfolio into the fast-growing affordable midscale segment," said Leeny Oberg, Chief Financial Officer and Executive Vice President, Development, Marriott International. "Our goal is to be everywhere our guests want us to be, with the right property in the right location at the right price point. The City Express brand acquisition is an important first step as we enter this attractive segment, allowing us to provide a wider range of choices to our guests, as well as more growth opportunities for our owners and franchisees."
Marriott has a strong track record of growing regional brands, and a successful history of leveraging the company's global development engine and revenue systems to expand into new markets. The award-winning Marriott Bonvoy loyalty platform as well as innovative digital travel services, including Marriott.com and the Marriott Bonvoy mobile app, deliver value to guests and drive direct bookings.
"With this brand acquisition, we have significantly grown our presence in the Caribbean and Latin America, particularly in secondary and tertiary markets, making us the largest hotel company in the region," said Brian King, President, Caribbean and Latin America (CALA), Marriott International. "We see meaningful opportunity to further expand the City Express brand in the CALA region as well as in other locations."
The existing City Express hotel portfolio, consisting of approximately 150 properties, is now part of Marriott's franchise system. These properties include urban, suburban, and extended stay offerings in Mexico, Costa Rica, Colombia, and Chile, and enjoy exceptional brand recognition among Latin American travelers. The transaction has increased Marriott's presence in the CALA region by approximately 45 percent, to over 480 properties across 37 countries.
The City Express brand portfolio consists of five sub-brands: City Express, City Express Plus, City Express Suites, City Express Junior, and City Centro. In the coming months, the City Premios loyalty program is expected to be retired as it is integrated into the Marriott Bonvoy platform.
"The opportunity this transaction represents for our customers and City Premios and Marriott Bonvoy members is significant," said Diana Plazas, Chief Sales and Marketing Officer, CALA, Marriott International. "But what is equally exciting is the opportunity to introduce new customers to our broader portfolio of brands through City Express offerings. We look forward to welcoming new guests to the entire Marriott Bonvoy portfolio."
Note on Forward-Looking Statements This press release contains "forward-looking statements" within the meaning of federal securities laws, including statements related to growth expectations and opportunities; opportunities to reach new customers; the benefits of the transaction; opportunities for customers; loyalty program integration; and similar statements concerning possible future events or expectations that are not historical facts. We caution you that these statements are not guarantees of future performance and are subject to numerous evolving risks and uncertainties that we may not be able to accurately predict or assess, including the risk factors that we identify in our Securities and Exchange Commission filings, including our most recent Annual Report on Form 10-K or Quarterly Report on Form 10-Q. Any of these factors could cause actual results to differ materially from the expectations we express or imply in this press release. We make these statements as of the date of this press release, and we undertake no obligation to publicly update or revise these statements, whether as a result of new information, future events or otherwise.
About Marriott International Marriott International, Inc. (NASDAQ: MAR) is based in Bethesda, Maryland, USA. As of year-end 2022, the company's portfolio encompassed nearly 8,300 properties under 30 leading brands spanning 138 countries and territories. Marriott operates and franchises hotels and licenses vacation ownership resorts all around the world. The company offers Marriott Bonvoy®, its highly awarded travel program. For more information, please visit our website at www.Marriott.com, and for the latest company news, visit www.MarriottNewscenter.com. In addition, connect with us on Facebook and @MarriottIntl on Twitter and Instagram.
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SOURCE Marriott International, Inc.
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