Hyatt Hotels Corporation announced an agreement to acquire Two Roads Hospitality, an international lifestyle hotel management company. Through the addition of Two Roads, its established lifestyle brands and the management agreements for the majority of its 85 properties in eight countries, Hyatt will expand its brand presence into 23 new markets while enhancing its offerings in lifestyle hotel experiences and wellbeing.

Created in September 2016, Two Roads Hospitality is an international lifestyle company encompassing a collection of 85 properties in eight countries, across five brands, including Joie de Vivre Hotels, Thompson Hotels, Destination Hotels, tommie and Alila Hotels & Resorts.

The acquisition consists of a base purchase price of USD 480 million, with the potential for Hyatt to invest up to an additional USD 120 million in the aggregate, contingent on the outcome of certain terms to be individually defined after closing.

After the close of the transaction, which is expected later this year, Hyatt will create a dedicated lifestyle division as a catalyst to bring together the operations of Two Roads’ and Hyatt’s lifestyle brands. “Hyatt is an ideal home for us as we share many values and a deep commitment to thoughtful growth and creating compelling experiences for our guests,” said Jamie Sabatier, chief executive officer, Two Roads Hospitality. “Hyatt’s unique position in the marketplace brings with it the powerful benefit of global scale while maintaining meaningful personal relationships with team members, guests and owners.”